XML 35 R22.htm IDEA: XBRL DOCUMENT v3.10.0.1
Temporary Equity
6 Months Ended
Jun. 30, 2018
Temporary Equity Disclosure [Abstract]  
Temporary Equity
Temporary Equity
Prior to the IPO and Reorganization Transactions, GreenSky Holdings, LLC had outstanding Class B and Class C Preferred Units, which were accounted for as temporary equity because of redemption preferences. The redemption preferences were waived on both the Class B and Class C Preferred Units in conjunction with the IPO, and therefore temporary equity has a balance of $0 as of June 30, 2018. Below are more details on the accounting treatment prior to the IPO and Reorganization Transactions.
Class B Preferred Units
Prior to the IPO, Class B unit holders collectively were entitled to a liquidation preference prior to any distribution to the holders of any other equity securities, which liquidation preference became null and void upon consummation of the IPO. Accordingly, as of June 30, 2018, the Class B liquidation preference is of no further effect because of the IPO. As of December 31, 2017, the redemption amount of the Class B preferred units, which was adjusted for non-tax GS Holdings member distributions, was $215.8 million. The liquidation preference was further adjusted for non-tax GS Holdings distributions during 2018 prior to the IPO.
Class C Preferred Units
Prior to the IPO, Class C-1 and C-2 unit holders collectively were entitled to a liquidation preference prior to any distribution to Class A unit holders, but in the event of an initial public offering, the Class C units automatically convert into GS Holdings Class A units immediately prior to the initial public offering. Accordingly, as of June 30, 2018, Class C-1 and C-2 liquidation preferences are of no further effect because of the IPO. As of December 31, 2017, the redemption amounts of the Class C-1 and Class C-2 preferred units, which were adjusted for non-tax GS Holdings member distributions, were $191.4 million for Class C-1 preferred units and $43.0 million for Class C-2 preferred units. The liquidation preferences were further adjusted for non-tax GS Holdings distributions during 2018 prior to the IPO.