Kafka joins as European director of corporate comms at the investment bank, working alongside global head of corporate comms Lucas van Praag. He joins on 2 January.
Goldman Sachs has been searching for a replacement for previous post holder Rory Godson for three years. He left his role as director of corporate affairs in 2003 to set up Powerscourt (PRWeek, 14 Nov 2003).
Kafka said he was unable to comment on his move.
His role at the LSE was axed earlier this year as part of a major marketing overhaul (PRWeek, 30 June). The move saw the LSE split its regulatory, marketing and media relations teams into three divisions.
Kafka, a former barrister, began his comms career in 1986 at Dewe Rogerson before securing roles at Hoare Govett and Nomura.
He joined the LSE in May 2004, before which he was executive director of corporate communications at Fidelity Investments.
Goldman Sachs last month promoted van Praag to partner status -instantly making him one of the world's highest-paid comms professionals (PRWeek, 3 Nov).
Former Brunswick staffer van Praag was one of two dozen London-based Goldman Sachs staff who benefited from a windfall after the bank recorded record profits of around £4.7bn.