Credit Suisse prices 8% notes linked to priceline; Deutsche Bank sells notes tied to real/yen

By Sheri Kasprzak

New York, May 15 - There were a few sizable offerings that hit the market Wednesday, led by a $31.05 million deal from Credit Suisse AG, Nassau Branch. The investment bank offered notes linked to the common stock of priceline.com.

The notes are due May 21, 2014 and have an 8% coupon. The offering also includes an over-allotment option for another $4.05 million.

Each note has a face amount of $802.50, equal to the initial price of priceline.com stock.

If the final share price is less than 109.5% of the initial share price, the payout at maturity will be 91.3242% of the final share price, subject to a minimum of $586.30 per note.

If the final share price is greater than or equal to 109.5% of the initial share price and less than 115% of the initial share price, the payout at maturity is par.

Otherwise, the payout will be par plus 0.65% for every 1% the final share price exceeds 115% of the initial share price.

The issuer can make the payout in cash or stock.

Stock up 1.85%

priceline.com's stock was up $14.61, or 1.85%, on Wednesday at $805.75. The company has a one-year target price of $830.00.

The stock's 52-week high was $808.51, and its 52-week low was $553.42.

From May 15, 2012 through Wednesday, the stock has grown 21.67%.

Deutsche sells real/yen notes

In other pricing action, Deutsche Bank AG, London Branch came to market with $3.31 million of zero-coupon autocallable notes linked to the performance of the Brazilian real relative to the Japanese yen.

The currency performance will be positive if the real strengthens relative to the yen, according to a filing with the Securities and Exchange Commission.

The notes will be called at par plus an annualized call premium of 16.4% if the currency performance is greater than or equal to zero on Aug. 12, 2013, Nov. 12, 2013, Feb. 10, 2014 or May 19, 2014.

If the notes are not called and the final currency performance is greater than or equal to negative 20%, the payout at maturity will be par. Investors will be fully exposed to losses from the initial level if the final currency performance is less than negative 20%.

© 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.