Goldman Sachs is making its second foray into an
experimental method of financing social services, lending up to $4.6 million
for a childhood education program in Salt
Lake City .
This “social impact bond,” in which Goldman stands to make
money if the program is successful but will lose its investment if it fails,
will support a preschool program intended to reduce the need for special
education and remedial services. The upshot, in theory, is that taxpayers will
not have to bear the upfront cost of the program.
Goldman is being joined in this effort by the Chicago investor J.B.
Pritzker, who is providing a subordinate loan of up to $2.4 million, bringing
the total financing to $7 million. The loans were announced at an event in Chicago on Thursday….
Read all about it at http://dealbook.nytimes.com/2013/06/12/goldman-to-invest-in-utah-preschool-program/
No comments:
Post a Comment