Citigroup plans contingent income autocallable notes linked to Kroger

By Devika Patel

Knoxville, Tenn., July 3 – Citigroup Global Markets Holdings Inc. plans to price contingent income autocallable securities due July 9, 2021 linked to Kroger Co. common shares, 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 9.8% if Kroger stock closes at or above its 75% downside threshold level on the observation date for that quarter.

The notes will be redeemed at par of $10 plus the contingent payment if the stock closes at or above its initial level on any determination date other than the final date, beginning Oct. 8, 2018.

The payout at maturity will be par plus the final coupon unless the stock finishes below the downside threshold level, in which case investors will lose 1% for every 1% that the final share price is less than the initial share price.

Citigroup Global Markets Inc. is the agent, with Morgan Stanley Wealth Management handling distribution.

The notes (Cusip: 17326K585) will price on July 6 and settle three business days after pricing.

© 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.