Goldman Sachs BDC, Inc. Prices Public Offering of $400 Million of 6.375% Unsecured Notes Due 2027

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Goldman Sachs BDC, Inc. (GSBD) announced the pricing of $400 million aggregate principal amount of 6.375% notes due 2027 to pay down debt under its revolving credit facility. The offering is subject to customary closing conditions.
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Goldman Sachs BDC, Inc.'s announcement of a $400 million notes offering is a strategic financial move that has implications for the company's capital structure and liquidity. The interest rate of 6.375% is a critical figure, reflecting the cost of capital for the company compared to the current interest rate environment. Considering the Federal Reserve's rate hikes to combat inflation, this rate may be competitive and attractive to investors seeking yield in a higher interest rate environment.

The decision to use the proceeds to pay down debt under its revolving credit facility suggests a proactive approach to debt management. This could potentially improve the company's leverage ratios and financial flexibility. However, investors should consider the potential for increased financial risk if the company cannot generate enough returns to cover the cost of this new debt, especially in an economic downturn.

The offering of the 2027 Notes by Goldman Sachs BDC, Inc. is indicative of the broader trend in the business development company (BDC) sector, where firms often raise capital through debt issuances to fund investments and operations. The BDC industry is known for providing financing to small and mid-sized businesses and the health of this sector can serve as a barometer for the broader economy. The successful closing of this offering could signal investor confidence in the BDC model and Goldman Sachs BDC's specific investment strategy.

It's also important to note that the ability to redeem the notes at par plus a 'make-whole' premium provides the company with some flexibility to manage its interest expenses in the future. Stakeholders should monitor the company's subsequent investment decisions, as the effective deployment of the net proceeds could lead to portfolio growth and potentially higher distributions.

The terms of the 2027 Notes, including the 'make-whole' premium, are significant as they dictate the cost of early redemption for the company. This premium is designed to compensate investors for the potential loss of interest income if the company chooses to redeem the notes before maturity. The presence of this feature can make the notes more attractive to investors, as it offers a form of protection against early redemption.

From a capital markets perspective, the successful pricing of the offering reflects investor appetite for fixed-income securities issued by financial institutions like Goldman Sachs BDC. The maturity date of 2027 suggests a medium-term horizon, which could appeal to investors looking for a balance between yield and duration risk. The closing of this offering under 'customary closing conditions' will be watched closely by the market, as any deviations could impact investor sentiment towards the company and its securities.

NEW YORK--(BUSINESS WIRE)-- Goldman Sachs BDC, Inc. (the “Company”) (NYSE: GSBD) announced today that it has priced an offering of $400 million aggregate principal amount of 6.375% notes due 2027 (the “2027 Notes”). The 2027 Notes will mature on March 11, 2027 and may be redeemed in whole or in part at the Company’s option at any time at par plus a “make-whole” premium, if applicable.

The Company intends to use the net proceeds of this offering to pay down debt under its revolving credit facility.

The offering is subject to customary closing conditions, and the 2027 Notes are expected to be delivered on or about March 11, 2024.

BofA Securities, Inc., SMBC Nikko Securities America, Inc., Truist Securities, Inc., MUFG Securities Americas Inc., HSBC Securities (USA) Inc., Morgan Stanley & Co. LLC, Barclays Capital Inc., BNP Paribas Securities Corp. and Goldman Sachs & Co. LLC are acting as joint book-running managers for this offering. Deutsche Bank Securities Inc., Wells Fargo Securities, LLC, ICBC Standard Bank Plc, Santander US Capital Markets LLC, CIBC World Markets Corp., BNY Mellon Capital Markets, LLC, U.S. Bancorp Investments, Inc., ING Financial Markets LLC and Raymond James & Associates, Inc. are acting as co-managers for this offering.

Investors are advised to carefully consider the investment objective, risks, charges and expenses of the Company before investing. The pricing term sheet dated March 6, 2024, the preliminary prospectus supplement dated March 6, 2024, the accompanying prospectus dated September 29, 2023, each of which has been filed with the Securities and Exchange Commission (the “SEC”), any related free writing prospectus and any information incorporated by reference in each, contain this and other information about the Company and should be read carefully before investing.

The information in the pricing term sheet, preliminary prospectus supplement, the accompanying prospectus and this press release is not complete and may be changed. The pricing term sheet, preliminary prospectus supplement, the accompanying prospectus and this press release are not offers to sell any securities of the Company and are not soliciting an offer to buy such securities in any jurisdiction where such offer and sale is not permitted.

A shelf registration statement relating to these securities is on file with the SEC and effective. The offering may be made only by means of a preliminary prospectus supplement and an accompanying prospectus, copies of which may be obtained from BofA Securities, Inc., NC1-022-02-25, 201 North Tryon Street, Charlotte, NC 28255-0001, Attn: Prospectus Department, or by calling 1-800-294-1322, or email; SMBC Nikko Securities America, Inc., 277 Park Avenue, New York, NY 10172, Attention: Debt Capital Markets, or toll-free at: 1-888-868-6856 or E-mail:; and Truist Securities, Inc. 3333 Peachtree Road NE, Atlanta GA, 30326, Attn: Prospectus Dept or toll-free at 1-800-685-4786 or


Goldman Sachs BDC, Inc. is a specialty finance company that has elected to be regulated as a business development company under the Investment Company Act of 1940. The Company was formed by The Goldman Sachs Group, Inc. (“Goldman Sachs”) to invest primarily in middle-market companies in the United States, and is externally managed by Goldman Sachs Asset Management, L.P., an SEC-registered investment adviser and a wholly-owned subsidiary of Goldman Sachs. The Company seeks to generate current income and, to a lesser extent, capital appreciation primarily through direct originations of secured debt, including first lien, first lien/last-out unitranche and second lien debt, and unsecured debt, including mezzanine debt, as well as through select equity investments.


This press release may contain forward-looking statements that involve substantial risks and uncertainties. These statements include the possible sale of the 2027 Notes and expected terms. You can identify these statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expect,” “anticipate,” “project,” “target,” “estimate,” “intend,” “continue,” or “believe” or the negatives thereof or other variations thereon or comparable terminology. You should read statements that contain these words carefully because they discuss our plans, strategies, prospects and expectations concerning our business, operating results, financial condition and other similar matters. These statements represent the Company’s belief regarding future events that, by their nature, are uncertain and outside of the Company’s control. There are likely to be events in the future, however, that we are not able to predict accurately or control. Any forward-looking statement made by us in this press release speaks only as of the date on which we make it. Factors or events that could cause our actual results to differ, possibly materially from our expectations, include, but are not limited to, market conditions and the risks, uncertainties and other factors we identify in the sections entitled “Risk Factors” and “Cautionary Statement Regarding Forward-Looking Statements” in filings we make with the SEC, including in our most recent annual report on Form 10-K, and it is not possible for us to predict or identify all of them. We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Goldman Sachs BDC, Inc.

Investor Contact: Austin Neri, 212-902-1000

Media Contact: Victoria Zarella, 212-902-5400

Source: Goldman Sachs BDC, Inc.


What did Goldman Sachs BDC, Inc. (GSBD) announce recently?

Goldman Sachs BDC, Inc. (GSBD) announced the pricing of $400 million aggregate principal amount of 6.375% notes due 2027.

What is the purpose of the offering of 6.375% notes due 2027 by GSBD?

The purpose of the offering is to pay down debt under GSBD's revolving credit facility.

When will the 2027 Notes mature?

The 2027 Notes will mature on March 11, 2027.

What can GSBD do with the net proceeds from this offering?

GSBD intends to use the net proceeds to pay down debt under its revolving credit facility.

What are the expected delivery conditions for the 2027 Notes?

The 2027 Notes are expected to be delivered on or before the closing date.

Goldman Sachs BDC, Inc.


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