Goldman Sachs MLP Income Opportunities Fund Announces New Leverage Financing

NEW YORK--(BUSINESS WIRE)--

Goldman Sachs MLP Income Opportunities Fund (NYSE: GMZ) (the “Fund”) is pleased to announce that it has entered into a new evergreen fixed/floating rate margin loan facility (the “Margin Loan Facility”) with The Bank of Nova Scotia, acting through its Houston branch, as lender (“Scotiabank”). Under the current terms of the Margin Loan Facility, the Fund will be permitted to borrow up to $310 million. The Fund will pay either a floating or fixed rate on its outstanding borrowings.

For floating rate borrowings, Scotiabank will charge the Fund the 3-month London Interbank Offered Rate (LIBOR) plus a mutually agreed-upon spread.

For fixed rate borrowings, Scotiabank will charge the Fund the cost of Scotiabank’s interest rate hedge, which is used to minimize interest rate risk, plus a mutually agreed-upon spread.

At closing of the Margin Loan Facility, the borrowings consisted of a floating rate tranche in the principal amount of approximately $116 million and two fixed rate tranches which are noted below.

Scotiabank may terminate the Margin Loan Facility or change any mutually agreed-upon spread with no less than 364 days’ prior notice to the Fund. Upon any such termination of the Margin Loan Facility, any amounts outstanding thereunder will be due and payable by the Fund. In addition, in the event of an early termination of any fixed rate borrowing(s), the Fund will receive or pay any gain or loss associated with Scotiabank’s interest rate hedge, which could be material in certain circumstances, as well as any related termination costs.

At closing of the Margin Loan Facility, the Fund utilized the proceeds of its initial borrowing to repay all outstanding borrowings under its previous credit facility.

Goldman Sachs MLP Income Opportunities Fund

Goldman Sachs MLP Income Opportunities Fund is a non-diversified, closed-end management investment company which began trading on the NYSE on November 25, 2013. The Fund seeks a high level of total return with an emphasis on current distributions to shareholders. The Fund invests primarily in Master Limited Partnership (“MLP”) investments, a significant portion of which deliver midstream infrastructure to support growing hydrocarbon extraction. These include investments in pipeline operators, natural gas processors, natural gas liquids fractionators and storage facilities. The Fund is managed by Goldman Sachs Asset Management’s (GSAM’s) Energy & Infrastructure Team, which is among the industry’s largest MLP investment groups.

About Goldman Sachs Asset Management, L.P.

GSAM is the asset management arm of The Goldman Sachs Group, Inc. (NYSE: GS), and supervises $1.18 trillion as of June 30, 2015.1 GSAM has been providing discretionary investment advisory services since 1988 and has investment professionals in all major financial centers around the world. The company offers investment strategies across a broad range of asset classes to institutional and individual clients globally. Founded in 1869, Goldman Sachs is a leading global investment banking, securities and investment management firm that provides a wide range of financial services to a substantial and diversified client base that includes corporations, financial institutions, governments and high-net-worth individuals.

1 Assets Under Supervision (AUS) includes assets under management and other client assets for which Goldman Sachs does not have full discretion.

Disclosures

Shares of closed-end investment companies frequently trade at a discount from their net asset value (“NAV”), which may increase investors’ risk of loss. At the time of sale, an investor’s shares may have a market price that is above or below NAV, and may be worth more or less than the original investment. There is no assurance that a Fund will meet its investment objective. Past performance does not guarantee future results. Investments in securities of MLPs involve risks that differ from investments in common stock, including among others risks related to limited control and limited rights to vote on matters affecting MLPs, potential conflicts of interest risk, cash flow risks, dilution risks and trading risks.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy any security. The Fund has completed its initial public offering. Investors should consider their investment goals, time horizons and risk tolerance before investing in the Fund. An investment in the Fund is not appropriate for all investors, and the Fund is not intended to be a complete investment program.

Investors should carefully review and consider the Fund’s investment objective, risks, charges and expenses before investing.

For additional information, please visit the Fund’s website at

www.GSAMFUNDS.com/cef

167356.MF.MED.OTU

View source version on businesswire.com: http://www.businesswire.com/news/home/20150730005807/en/

Goldman Sachs MLP Income Opportunities Fund
Media:
Andrew Williams, 212-357-0005
or
Investor::
Keith McRedmond, 212-357-7359

Source: Goldman Sachs MLP Income Opportunities Fund

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