Sallie Mae Hiring Goldman Sachs For Possible Breakup (SLM)

Sallie Mae

, the embattled student loan lender is hiring Goldman Sachs to to help it consider a possible break up of the company

The student loan originator is working with the prestigious investment bank to perhaps sell or even spin off its student-loan servicing business. It is also looking at doing the same thing for its $145 billion government-subsidized loan portfolio. Sallie Mae is also mulling the option of possibly transforming into a a traditional deposit-taking bank. The end of government subsidies has badly hurt key revenue drivers for Sallie Mae. On this news, shares of Sallie Mae are trading at $11.57, up 35‎ cents.