Citigroup plans autocallable contingent coupon equity notes on Alibaba

By Devika Patel

Knoxville, Tenn., July 9 – Citigroup Global Markets Holdings Inc. plans to price autocallable contingent coupon equity-linked securities due July 22, 2019 linked to Alibaba Group Holding Ltd. common shares, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be guaranteed by Citigroup Inc.

The notes will pay a contingent quarterly coupon at an annualized rate of 8% to 9% if the shares close at or above the 75% coupon barrier level on the observation date for that quarter. The exact coupon will be set at pricing.

The notes will be automatically called at par plus the contingent coupon if the stock closes at or above the initial price on any observation date beginning on Oct. 17 and ending on April 17, 2019.

The payout at maturity will be par plus the final coupon unless the shares finish below the 75% final barrier level, in which case investors will receive a number of shares equal to the principal divided by the initial share price or the cash equivalent.

Citigroup Global Markets Inc. is the agent.

The notes (Cusip: 17324XHG8) are expected to price on July 17 and settle July 20.

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