By William Gullotti
Buffalo, N.Y., Aug. 10 – GS Finance Corp. priced $10.31 million of contingent income autocallable securities due Aug. 1, 2024 linked to the stocks of Citizens Financial Group, Inc., Fifth Third Bancorp and Signature Bank, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Goldman Sachs Group, Inc.
The notes will pay a contingent quarterly coupon at an annual rate of 10.8% if the lowest performing stock closes at or above the 70% coupon threshold on the related quarterly determination date.
The notes will be called at par of $10 plus the contingent coupon if the lowest performing stock closes at or above its initial price on any quarterly determination date after six months.
If the lowest performing stock finishes at or above the coupon threshold, the payout at maturity will be par plus the final coupon.
If the worst performing stock finishes below the coupon threshold but greater than or equal to the 60% downside threshold, the payout at maturity will be par. Otherwise, investors will lose 1% for each 1% share price decline of the worst performer from its initial price.
Goldman Sachs & Co. LLC is the agent. Morgan Stanley Wealth Management is the dealer.
| Issuer: | GS Finance Corp.
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| Guarantor: | Goldman Sachs Group, Inc.
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| Issue: | Contingent income autocallable securities
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| Underlying stocks: | Citizens Financial Group, Inc., Fifth Third Bancorp, Signature Bank
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| Amount: | $10,305,000
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| Maturity: | Aug. 1, 2024
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| Coupon: | 10.8% per year, payable each quarter that stock closes at or above coupon threshold level on determination date for that quarter
|
| Price: | Par of $10
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| Payout at maturity: | If lowest performing stock finishes at or above coupon threshold, par plus coupon; if the lowest performing stock declines but finishes at or above the downside threshold, par; otherwise, full exposure to share price decline of the worst performer from its initial price
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| Call: | At par plus contingent coupon if lowest performing stock closes at or above initial price on any quarterly determination date after six months
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| Initial share prices: | $43.30 for Citizens, $36.45 for Fifth Third, $231.39 for Signature
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| Coupon threshold levels: | $30.31 for Citizens, $25.515 for Fifth Third, $161.973 for Signature; 70% of initial levels
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| Downside thresholds: | $25.98 for Citizens, $21.87 for Fifth Third, $138.834 for Signature; 60% of initial levels
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| Pricing date: | July 28
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| Settlement date: | Aug. 2
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| Agent: | Goldman Sachs & Co. LLC
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| Dealer: | Morgan Stanley Wealth Management
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| Fees: | 2.5%
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| Cusip: | 36261B525
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