Goldman Sachs plans issuance of noncumulative preferreds; talk revised to 5.9%-6%

By Stephanie N. Rotondo

Phoenix, Oct. 17 - The Goldman Sachs Group Inc. intends to issue series I noncumulative perpetual preferreds, the company said in a prospectus filed with the Securities and Exchange Commission on Wednesday.

Pricing was originally slated between 6.125% and 6.25% but was revised to 5.9% to 6%, according to a trader.

The trader also noted that there was no selling group.

The preferreds (Ba2/BB+/BB+) will be issued as depositary shares representing a 1/1,000th interest.

Dividends will be payable on the 10th day of February, May, August and November, beginning Feb. 10, 2013.

The preferreds become redeemable, in whole or in part, on or after Nov. 10, 2017. Goldman can also redeem the shares within 90 days of a regulatory capital treatment event in whole.

The investment bank has applied to list the new securities on the New York Stock Exchange under the ticker symbol "GSPI."

Goldman Sachs & Co. Inc. is the bookrunner. Joint lead managers are Bank of America Merrill Lynch, Citigroup Global Markets Inc., UBS Securities LLC and Wells Fargo Securities LLC.

Proceeds will be used to provide additional funds for operations and for general corporate purposes.

Goldman Sachs is based in New York.

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