Citigroup plans autocallable contingent coupon equity notes on Amazon

By Wendy Van Sickle

Columbus, Ohio, Jan. 6 – Citigroup Global Markets Holdings Inc. plans to price autocallable contingent coupon equity-linked securities due Feb. 5, 2019 linked to the common stock of Amazon.com, Inc., according to a 424B2 filing with the Securities and Exchange Commission.

The notes are guaranteed by Citigroup Inc.

The notes will pay a contingent quarterly coupon at an annualized rate of 8% to 8.75% if Amazon.com stock closes at or above the barrier price, 80% of the initial price, on the valuation date for that quarter. The exact coupon will be set at pricing.

Beginning in January 2018, the notes will be automatically called at par plus the contingent coupon if Amazon.com shares close at or above the initial share price on any valuation date.

If the notes are not called and the final share price is greater than or equal to the barrier price, the payout at maturity will be par plus the contingent coupon. Otherwise, investors receive a fixed number of Amazon.com shares equal to the equity ratio or, at the issuer’s option, an amount in cash equal to the value of those shares.

Citigroup Global Markets Inc. is the underwriter.

The notes will price on Jan. 31.

The Cusip number is 17324XAR1.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.