UBS plans trigger autocallable contingent yield notes on Home Depot

By Marisa Wong

Morgantown, W.Va., Feb. 1 – UBS AG, London Branch plans to price 0% trigger autocallable optimization securities due Feb. 5, 2021 linked to the common stock of Home Depot, Inc., according to a 424B2 filing with the Securities and Exchange Commission.

Each quarter, the notes will pay a contingent coupon at the rate of 7% per year if the shares close at or above the coupon barrier level, 74% to 79% of the initial share price, on the observation date for that quarter.

After six months, the notes will be automatically called at par of $10 if the shares close at or above the initial share price on any observation date other than the final one.

If the notes are not called and the final share price is greater than or equal to the downside threshold level, 74% to 79% of the initial share price, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the final share price is less than the initial share price.

UBS Financial Services Inc. and UBS Investment Bank are the underwriters.

The notes will price on Feb. 2.

The Cusip number is 90280Y347.

© 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.