Citigroup plans contingent coupon autocallable notes linked to Nvidia

By Devika Patel

Knoxville, Tenn., June 27 – Citigroup Global Markets Holdings Inc. plans to price autocallable contingent coupon equity linked securities due July 3, 2018 linked to the common stock of Nvidia Corp., according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be guaranteed by Citigroup Inc.

Each quarter, the notes will pay a contingent coupon at an annualized rate of 9% to 10.5% if Nvidia stock closes at or above the coupon barrier price, 65% of the initial price, on the valuation date for that quarter. The exact contingent coupon rate will be set at pricing.

Beginning in September 2017 and ending in March 2018, the notes will be automatically called at par of $1,000 plus the contingent coupon if Nvidia shares close at or above the initial share price on any quarterly valuation date.

If the final share price is greater than or equal to the final barrier price, 65% of the initial price, the payout at maturity will be par plus the contingent coupon. Otherwise, investors receive a number of Nvidia shares equal to $1,000 divided by the initial share price or, at the company’s option, the cash equivalent.

Citigroup Global Markets Inc. is the underwriter.

The notes (Cusip: 17324XCK4) will price June 28 and settle three business days after pricing.

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