ShoreBank, a Chicago lender that has been praised by numerous politicians including President Obama for its work in helping people in economically needy communities obtain home loans, has been hammered by the recession and is in imminent danger of being handed over to the FDIC. Or, was, until a guardian angel swept in this week and launched a major capital-raising effort on behalf of the bank — a guardian angel called Goldman Sachs. CEO Lloyd Blankfein has been working the phones personally to make sure this thing happens. Which is weird, because …
People familiar with the situation said Goldman initially declined to invest in ShoreBank. Within the past week, people familiar with the effort to save ShoreBank say Goldman agreed to commit about $20 million to the bank. That would make it one of the largest investors, according to people familiar with the talks. Goldman Sachs declined to comment on its involvement in the rescue effort.
Of course they wouldn’t comment. That would be boasting, and everyone knows charity is something you do to feel better on the inside, not to look better on the outside.
Goldman Joins Race to Save Chicago Bank [WSJ]
Related: How to Rebrand Goldman Sachs
