By Aleesia Forni
New York, Feb. 22 – Goldman Sachs Group Inc. sold $3.6 billion of senior notes (A3/BBB+/A) in three parts on Monday, according to an informed source.
A $1.25 billion 2.875% tranche of five-year notes sold at 99.834 to yield 2.911%, or Treasuries plus 168 basis points.
The notes sold at the tight end of guidance set in the 170 bps area over Treasuries and inside initial price thoughts set in the Treasuries plus 180 bps to 185 bps range.
There was $600 million of five-year floating-rate notes priced at par to yield Libor plus 177 basis points. Talk was at the Libor equivalent to the fixed-rate tranche.
Finally, a $1.75 billion tranche of 3.75% 10-year notes sold at 203 bps over Treasuries. Pricing was at 99.769 to yield 3.778%.
Guidance was in the Treasuries plus 205 bps area after having tightened from talk in the 220 bps area over Treasuries.
Goldman Sachs & Co. is the bookrunner.
The financial services company is based in New York City.
| Issuer: | Goldman Sachs Group Inc.
|
| Issue: | Senior notes
|
| Amount: | $3.6 billion
|
| Bookrunner: | Goldman Sachs & Co.
|
| Trade date: | Feb. 22
|
| Ratings: | Moody’s: A3
|
| Standard & Poor’s: BBB+
|
| Fitch: A
|
| Distribution: | SEC registered
|
|
|
| Five-year notes
|
| Amount: | $1.25 billion
|
| Maturity: | Feb. 25, 2021
|
| Coupon: | 2.875%
|
| Price: | 99.834
|
| Yield: | 2.911%
|
| Spread: | Treasuries plus 168 bps
|
| Price guidance: | Treasuries plus 170 bps area (+/- 2 bps), tightened from Treasuries plus 180 bps to 185 bps
|
|
|
| Five-year floaters
|
| Amount: | $600 million
|
| Maturity: | Feb. 25, 2021
|
| Coupon: | Libor plus 177 bps
|
| Price: | Par
|
| Yield: | Libor plus 177 bps
|
| Price guidance: | Libor equivalent to five-year fixed-rate notes
|
|
|
| 10-year notes
|
| Amount: | $1.75 billion
|
| Maturity: | Feb. 25, 2026
|
| Coupon: | 3.75%
|
| Price: | 99.769
|
| Yield: | 3.778%
|
| Spread: | Treasuries plus 203 bps
|
| Price guidance: | Treasuries plus 205 bps area, tightened from Treasuries plus 200 bps area
|
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