New Issue: UBS prices $11.58 million trigger autocallable contingent yield notes on stock basket

By Wendy Van Sickle

Columbus, Ohio, June 7 – UBS AG, London Branch priced $11.58 million of trigger autocallable contingent yield notes due June 7, 2023 linked to an equally weighted basket of the common stocks of Alcoa Corp., ConocoPhillips, Deere & Co., Freeport-McMoRan Inc., Barrick Gold Corp., Mosaic Co., FMC Corp., Newmont Corp., Steel Dynamics, Inc. and Pioneer Natural Resources Co., according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon at an annualized rate of 9% if the basket closes at or above its 75% coupon barrier on the related quarterly observation date.

The notes will be called at par of $10 plus accrued interest if the basket closes at or above the initial basket level on any quarterly observation date.

If the notes are not called, the payout at maturity will be par unless the final price of the basket is less than the 75% downside threshold, in which case investors will be fully exposed to the basket level decline.

UBS Securities LLC and UBS Investment Bank are the agents.

Issuer:	UBS AG, London Branch
Issue:	Trigger autocallable contingent yield notes
Underlying stocks:	Alcoa Corp., ConocoPhillips, Deere & Co., Freeport-McMoRan Inc., Barrick Gold Corp., Mosaic Co., FMC Corp., Newmont Corp., Steel Dynamics, Inc., Pioneer Natural Resources Co., each with a 10% weight
Amount:	$11,575,000
Maturity:	June 7, 2023
Coupon:	9% annualized, payable each quarter that basket closes at or above coupon barrier on observation date for that quarter
Price:	Par of $10
Payout at maturity:	Par unless final basket level is less than downside threshold, in which case full exposure to losses
Call:	Automatically at par plus accrued interest if basket closes at or above initial share price on any quarterly observation date
Initial share price:	$40.98 for Alcoa, $58.27 for ConocoPhillips, $364.61 for Deere, $44.21 for Freeport-McMoRan, $24.26 for Barrick Gold , $37.55 for Mosaic, $118.31 for FMC, $73.95 for Newmont, $65.40 for Steel Dynamics, $161.44 for Pioneer
Coupon barrier:	75% of initial level
Downside threshold:	75% of initial level
Strike date:	June 1
Pricing date:	June 2
Settlement date:	June 7
Agents:	UBS Securities LLC and UBS Investment Bank
Fees:	1.5%
Cusip:	90278Y804

© 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.