Credit Suisse plans autocallable reverse convertibles linked to Tenet

By Toni Weeks

San Luis Obispo, Calif., June 3 – Credit Suisse AG plans to price autocallable reverse convertible securities due June 30, 2016 linked to the common stock of Tenet Healthcare Corp., according to a 424B2 filing with the Securities and Exchange Commission.

The interest rate is expected to be 8% to 10% and will be set at pricing. Interest will be payable monthly.

The notes will be called at par if Tenet shares close at or above the initial share price on Dec. 24, 2015 or March 24, 2016.

The payout at maturity will be par unless Tenet shares close at or below the knock-in price, 70% of the initial share price, during the life of the notes and finish below the initial share price, in which case investors will receive a number of Tenet shares equal to $1,000 divided by the initial share price or, at the issuer’s option, the cash value of those shares.

Credit Suisse Securities (USA) LLC is the agent.

The notes will price June 25 and settle June 30.

The Cusip number is 22546VEZ5.

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