By Wendy Van Sickle
Columbus, Ohio, Oct. 4 – GS Finance Corp. priced $2 million of callable quarterly CMS spread-linked notes due Oct. 5, 2030, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Goldman Sachs Group, Inc.
The interest rate will be 7.25% for the first year, payable quarterly. After that it will be 20 times the spread of the 30-year Constant Maturity Swap rate minus the two-year CMS rate, subject to a maximum interest rate of 20% per year.
The payout at maturity will be par.
The notes are callable at par after two years.
Goldman Sachs & Co. is the underwriter.
Issuer: | GS Finance Corp.
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Guarantor: | Goldman Sachs Group, Inc.
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Issue: | Callable quarterly CMS spread notes
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Underlying rates: | 30-year and two-year Constant Maturity Swap rates
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Amount: | $2 million
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Maturity: | Oct. 5, 2030
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Coupon: | 7.25% for first year, then 20 times 30-year CMS rate minus two-year CMS rate, subject to maximum interest rate of 20% per year and minimum interest rate of zero; payable quarterly
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Price: | Par
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Payout at maturity: | Par
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Call option: | At par after two years
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Pricing date: | Oct. 2
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Settlement date: | Oct. 10
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Underwriter: | Goldman Sachs & Co.
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Fees: | 0.875%
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Cusip: | 40056E4Q8
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