Published on 5/18/2016 in the Prospect News Structured Products Daily.
New Issue: GS Finance sells $6.01 million trigger autocallables on S&P, Euro Stoxx
By Marisa Wong
Morgantown, W.Va., May 18 – GS Finance Corp. priced $6.01 million of trigger autocallable contingent yield notes due May 18, 2026 linked to the lesser performing of the Euro Stoxx 50 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be guaranteed by Goldman Sachs Group, Inc.
Each quarter, the notes will pay a contingent coupon at a rate of 7.4% per year if each index closes at or above its coupon barrier, 70% of its initial level, on the observation date for that quarter.
After one year, the notes will be automatically called at par of $10 if each index closes at or above its initial level on any quarterly observation date.
If the notes are not called and the final level of the lesser-performing index is greater than or equal to its downside threshold, 50% of its initial level, the payout at maturity will be par plus the final coupon, if any. Otherwise, investors will lose 1% for every 1% that the lesser-performing index’s final level is less than its initial level.
Goldman Sachs & Co. is the underwriter.
| Issuer: | GS Finance Corp.
|
| Guarantor: | Goldman Sachs Group, Inc.
|
| Issue: | Trigger autocallable contingent yield notes
|
| Underlying indexes: | Euro Stoxx 50, S&P 500
|
| Amount: | $6,006,100
|
| Maturity: | May 18, 2026
|
| Coupon: | 7.4%, payable quarterly if each index closes at or above its coupon barrier on quarterly observation date
|
| Price: | Par
|
| Payout at maturity: | If final level of lesser-performing index is greater than or equal to its 50% downside threshold, par plus final coupon, if any; otherwise, 1% loss for every 1% that lesser-performing index’s final level is less than its initial level
|
| Call: | After one year, automatically at par plus contingent coupon if each index closes at or above initial level on any quarterly call observation date
|
| Initial levels: | 2,046.61 for S&P 500 and 2,956.63 for Euro Stoxx 50
|
| Coupon barriers: | 1,432.627 for S&P 500 and 2,069.641 for Euro Stoxx; 70% of initial levels
|
| Downside thresholds: | 1,023.305 for S&P 500 and 1,478.315 for Euro Stoxx; 50% of initial levels
|
| Pricing date: | May 13
|
| Settlement date: | May 18
|
| Agent: | Goldman Sachs & Co.
|
| Fees: | 3.95%
|
| Cusip: | 36250Y106
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
