Goldman Sachs BDC Ticks Lower In NYSE Debut

(RTTNews) - Shares of Goldman Sachs BDC Inc (GSBD) fell in its debut on the New York Stock Exchange on Wednesday following its $120 million initial public offering.

Goldman Sachs BDC - the specialty lending unit of Goldman Sachs - offered six million shares in its IPO priced at $20 a share, the lower end of its expected range of $20 to $21 a share.

The company said the net proceeds raised in the IPO would be used to repay a part of its outstanding debt.

Goldman Sachs BDC extends loans to small businesses that are in the initial stages of development. The company pays most of its earnings to shareholders and gets a tax break for investing in smaller U.S. businesses. Goldman Sachs BDC had $967.5 million of assets and $392.9 million of liabilities at the end of 2014.

Goldman Sachs had a stake of about 20 percent in the company at the end of 2014, according to Bloomberg. The company is managed by Goldman Sachs's asset-management division.

GSBD is trading at $19.71, down $0.29 or 1.45%, on a volume of 2.7 million shares on the NYSE. The stock had dropped as low as $19.50 and as high as $19.75 earlier in the session.