Citigroup aims to sell contingent coupon autocallables on four stocks

By Devika Patel

Knoxville, Tenn., Oct. 10 – Citigroup Global Markets Holdings Inc. plans to price autocallable contingent coupon equity-linked securities due Oct. 29, 2021 linked to the worst performing of the common stocks of Facebook, Inc., Amazon.com, Inc., Netflix, Inc. and Alphabet Inc., according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be guaranteed by Citigroup Inc.

Each quarter, the notes will pay a contingent coupon at an annualized rate of at least 12% if the worst-performing stock closes at or above its coupon barrier price, 60% of its initial share price, on the valuation 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 worst-performing stock closes at or above its initial share price on any quarterly valuation date beginning on Jan. 28, 2019 and ending on July 26, 2021.

If the final share price of the worst-performing stock is greater than or equal to its final barrier price, 60% of its initial share price, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will receive a number of shares of the worst-performing stock equal to $1,000 divided by that stock’s initial share price or, at the issuer’s option, an amount in cash equal to the value of those shares.

Citigroup Global Markets Inc. is the agent.

The notes (Cusip: 17324XEZ9) will price Oct. 26 and settle Oct. 31.

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