By William Gullotti
Buffalo, N.Y., Feb. 6 – UBS AG, London Branch priced $2.34 million of trigger autocallable contingent yield notes due Feb. 4, 2027 linked to the stock performance of Chevron Corp. and Exxon Mobil Corp., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at the rate of 11.92% per year if each stock closes at or above its coupon barrier, 75% of its initial level, on the corresponding observation date.
The notes will be automatically called at par plus coupon if the shares of each stock closes at or above its initial share price on any quarterly call observation date.
If the notes are not called and the final share price of each stock is greater than or equal to its 75% downside threshold level, the payout at maturity will be par plus the final coupon.
Otherwise, investors will receive a number of shares of the worst performer equal to $1,000 divided by that stock’s initial level.
UBS Securities LLC and UBS Investment Bank are the agents.
| Issuer: | UBS AG, London Branch
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| Issue: | Trigger autocallable contingent yield notes
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| Underlying stocks: | Chevron Corp., Exxon Mobil Corp.
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| Amount: | $2,336,000
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| Maturity: | Feb. 4, 2027
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| Coupon: | 11.92% per year, paid quarterly, if each stock closes at or above its coupon barrier on the related observation date
|
| Price: | Par
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| Payout at maturity: | Par plus final coupon if each stock finishes at or above its downside threshold level; otherwise, receive a number of shares of the worst performer equal to its equity ratio
|
| Call: | Automatically at par plus coupon if each stock closes at or above initial level on any quarterly call observation date
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| Initial levels: | $147.43 for Chevron, $102.81 for Exxon Mobil
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| Coupon barrier levels: | $110.57 for Chevron, $77.11 for Exxon Mobil; 75% of initial levels
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| Downside thresholds: | $110.57 for Chevron, $77.11 for Exxon Mobil; 75% of initial levels
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| Equity ratio: | 6.7829 for Chevron, 9.7267 for Exxon Mobil; shares delivered per note
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| Pricing date: | Jan. 31
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| Settlement date: | Feb. 7
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| Agents: | UBS Securities LLC and UBS Investment Bank
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| Fees: | 2.75%
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| Cusip: | 90279WP81
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