Goldman Sachs to Invest in First Marblehead

BOSTON (Reuters) - Goldman Sachs Capital Partners (GS.N) will invest up to $260.5 million in First Marblehead Corp (FMD.N), the ailing securitizer of loans for education, First Marblehead said on Friday.

Goldman Sachs, the world's biggest securities firm, will own 19.99 percent of Boston-based First Marblehead's outstanding shares.

First Marblehead also said it will eliminate its regular quarterly cash dividend for the foreseeable future.

(Reporting by Svea Herbst-Bayliss; Editing by Jeffrey Benkoe)