Goldman Sachs Alternatives Acquires FGI Worldwide, Expanding Its $75 Billion Private Equity Reach

The Private Equity business within Goldman Sachs Alternatives has acquired FGI Worldwide, a provider of working capital solutions, in a move to broaden its financing portfolio and accelerate FGI's growth. The deal, announced May 12, brings the 25-year-old finance and insurtech firm under the umbrella of Goldman's $75 billion private equity platform.

"FGI has built a differentiated offering supported by market-leading underwriting expertise and a technology-driven operating platform," said Anthony Arnold, Partner within Private Equity at Goldman Sachs. "As the Company’s first institutional investors, we look forward to bringing the full scope of Goldman Sachs’ resources to help FGI capitalize on the significant opportunities ahead."

While financial terms of the deal were not disclosed, the transaction includes a leadership transition, with FGI Co-Founder and President Sami Altaher succeeding David DiPiero as Chief Executive Officer. FGI specializes in multi-jurisdictional working capital and trade credit insurance for small and medium-sized enterprises.

The acquisition allows Goldman Sachs Alternatives, which manages over $625 billion in assets, to integrate FGI's specialized underwriting and technology platform. For FGI, the backing of its first institutional investor is expected to fuel significant expansion of its product capabilities and scale, strengthening its position in the commercial finance industry.

A Strategic Push into Commercial Finance

The deal provides Goldman Sachs' private equity arm with a foothold in the specialized market of asset-based lending for small and medium-sized businesses. FGI operates through three main units—FGI Finance, FGI Risk, and FGI Tech—providing customized lending and credit insurance solutions. Its flagship software, TRUST™, is a web-based platform for managing credit insurance policies.

"We are impressed by the capabilities and operational sophistication FGI has built," Michael Coleman, Managing Director within Private Equity at Goldman Sachs, said. "FGI’s exceptional track record of innovation, growth and credit performance positions it well for continued success."

Advisors on the transaction included Houlihan Lokey as financial advisor and Sidley Austin LLP as legal counsel to Goldman Sachs. FGI was advised by Keefe, Bruyette & Woods (a Stifel Company) as financial advisor and Blank Rome LLP as legal counsel.

Leadership Transition and Future Outlook

The appointment of Sami Altaher as CEO marks a new chapter for FGI. Altaher, who co-founded the firm with David DiPiero and Joseph Albertelli, will now lead its next growth phase.

"Looking ahead, we are focused on thoughtfully scaling the business by investing in our platform and expanding our product capabilities, while remaining committed to serving small and medium-sized enterprises," Altaher said. He added that Goldman Sachs shares the company's long-term vision to strengthen FGI's leadership.

The transaction is poised to accelerate FGI's expansion and enhance its suite of financing, risk, and Insurtech solutions for a global client base with offices in the US, Canada, and the UK.

This article is for informational purposes only and does not constitute investment advice.