By Angela McDaniels
Tacoma, Wash., Feb. 21 – GS Finance Corp. priced $5 million of callable quarterly range accrual notes due Feb. 22, 2027 linked to six-month Libor and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be guaranteed by Goldman Sachs Group, Inc.
The interest rate is 8% per year multiplied by the proportion on days on which the index’s closing level is greater than or equal to the trigger level, 70% of the initial index level, and six-month Libor is 6% or less. Interest is payable quarterly.
If the index return is greater than or equal to negative 40%, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the final index level is less than the initial index level.
Beginning in August 2017, the notes will be callable at par on any interest payment date.
Goldman Sachs & Co. is the underwriter.
| Issuer: | GS Finance Corp.
|
| Guarantor: | Goldman Sachs Group, Inc.
|
| Issue: | Callable quarterly range accrual notes
|
| Underlyings: | Six-month Libor and Russell 2000
|
| Amount: | $5 million
|
| Maturity: | Feb. 22, 2027
|
| Coupon: | 8% per year multiplied by proportion on days on which index’s closing level is greater than or equal to trigger level and six-month Libor is 6% or less; payable quarterly
|
| Price: | Par
|
| Payout at maturity: | If index return is greater than or equal to negative 40%, par; otherwise, 1% loss for every 1% that final index level is less than initial index level
|
| Call option: | Beginning in August 2017, notes will be callable at par on any interest payment date
|
| Initial level: | 1,404.207
|
| Trigger level: | 982.9449, or 70% of initial level
|
| Pricing date: | Feb. 15
|
| Settlement date: | Feb. 22
|
| Underwriter: | Goldman Sachs & Co.
|
| Fees: | 2.7%
|
| Cusip: | 40054KX50
|
© 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.
