By Kiku Steinfeld
Chicago, Dec. 19 – GS Finance Corp. priced $505,000 of callable contingent coupon notes due April 22, 2027 linked to the Euro Stoxx 50 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Goldman Sachs Group, Inc.
Each six months, the notes pay a contingent coupon at an annual rate of 6.85% if each index closes at or above its coupon barrier, 70% of its initial level, on the related semiannual observation date.
The notes are callable at par on any semiannual observation date after one year.
If the notes are not called and the final level of each index is greater than or equal to the 75% buffer level, the payout at maturity will be par plus the final coupon.
If the lesser performing index closes below the 75% buffer level and at or above the70% coupon barrier, investors will receive the final coupon but lose 1% for every 1% decline of that index plus a 25% buffer (Investors will receive between 95% and 99.99% per each $1,000 face amount of notes and the final coupon.)
If any index closes below 75%, investors will be exposed to the loss of the lesser performing index beyond the 25% buffer.
Goldman Sachs & Co. LLC is the underwriter.
| Issuer: | GS Finance Corp.
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| Guarantor: | Goldman Sachs Group, Inc.
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| Issue: | Callable contingent coupon notes
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| Underlying indexes: | Russell 2000 and Euro Stoxx 50
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| Amount: | $505,000
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| Maturity: | April 22, 2027
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| Coupon: | 6.85%, payable each six months that each index closes at or above coupon barrier on related observation date
|
| Price: | Par
|
| Payout at maturity: | If final level of each index is greater than or equal to 75% buffer, par plus final coupon; if lesser performing index closes below buffer but at or above 70% coupon barrier, investors will receive the coupon but lose 1% for every 1% decline of lesser performer plus a 25% buffer; otherwise, exposure to lesser performer’s decline beyond 25% buffer
|
| Call option: | At par on any semiannual observation date after one year
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| Initial levels: | 2,030.765 for Russell and 3,830.76 for Stoxx
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| Coupon barrier levels: | 70% of initial levels
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| Buffer: | 25%
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| Pricing date: | April 19
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| Settlement date: | April 22
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| Underwriter: | Goldman Sachs & Co. LLC
|
| Fees: | 1.125%
|
| Cusip: | 40057LT43
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