GS Finance plans contingent income autocallable notes on Alibaba

By Wendy Van Sickle

Columbus, Ohio, May 13 – GS Finance Corp. plans to price contingent income autocallable securities due May 23, 2019 linked to the American Depository Shares of Alibaba Group Holding Ltd., according to an FWP 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 11.25% if the shares close at or above the 80% downside threshold level on the observation date for that quarter.

The notes will be called at par plus the contingent coupon if the shares close at or above the initial price on any of the first 11 determination dates.

The payout at maturity will be par plus the final coupon unless the shares finish below the 80% downside threshold level, in which case investors will be fully exposed to the decline.

Goldman Sachs & Co. is the agent with Morgan Stanley Wealth Management handling distribution.

The notes (Cusip: 36250Y148) will price on May 20.

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