By Taylor Fox
New York, Nov. 18 – UBS AG, London Branch priced $1.4 million of phoenix autocallable notes with memory interest due Nov. 17, 2021 linked to the common stock of Facebook, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
If Facebook stock closes at or above the trigger price – 70% of the initial share price – on a quarterly observation date, the issuer will pay a contingent coupon for that quarter at an annual rate of 14.2%. Previously unpaid coupons will also be paid.
If the shares close at or above the initial price on a quarterly observation date, the notes will be called at par plus the contingent coupon.
If the notes are not called and Facebook shares finish at or above the trigger price, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will be exposed to the share price decline from the initial price.
UBS Investment Bank is the agent. J.P. Morgan Securities LLC is the placement agent.
| Issuer: | UBS AG, London Branch
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| Issue: | Phoenix autocallable notes
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| Underlying stock: | Facebook, Inc. (Nasdaq: FB)
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| Amount: | $1.4 million
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| Maturity: | Nov. 17, 2021
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| Coupon: | 14.2% annual rate, payable quarterly if stock closes at or above trigger price on observation date for that quarter; previously unpaid coupons will also be paid
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| Price: | Par
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| Payout at maturity: | Par plus contingent coupon if Facebook shares finish at or above trigger price; otherwise, par plus stock return
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| Call: | Automatically at par plus contingent coupon if Facebook shares close at or above initial price on a quarterly observation date
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| Initial share price: | $280.83
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| Interest barrier price: | $196.58, 70% of initial price
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| Trigger price: | $196.58, 70% of initial price
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| Pricing date: | Oct. 29
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| Settlement date: | Nov. 4
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| Agents: | UBS Investment Bank and J.P. Morgan Securities LLC
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| Fees: | 1%
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| Cusip: | 90276BKC6
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