By Laura Lutz
Des Moines, Oct. 26 - HSBC USA Inc. priced $1 million of 16.45% reverse convertible notes due Jan. 31, 2008 linked to the common stock of Fortress Investment Group LLC, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be payable monthly.
At maturity, investors will receive par unless Fortress stock falls below the protection price - 75% of the initial share price - during the life of the notes and finishes below the initial share price, in which case the payout will be a number of Fortress shares equal to $1,000 divided by the initial share price.
HSBC Securities (USA) Inc. will be the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Reverse convertible notes
|
| Underlying stock: | Fortress Investment Group LLC (NYSE: FIG)
|
| Amount: | $1 million
|
| Maturity: | Jan. 31, 2008
|
| Coupon: | 16.45%, payable monthly
|
| Price: | Par
|
| Payout at maturity: | Par in cash unless Fortress Investment stock falls below $15.6975 during the life of the notes and finishes below its initial price, in which case a number of shares of Fortress Investment equal to $1,000 divided by the initial price
|
| Initial share price: | $20.93
|
| Barrier price: | $15.6975, 75% of $20.93
|
| Pricing date: | Oct. 25
|
| Settlement date: | Oct. 31
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 1.75%
|
© 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.
