Rabo Financial Products plans issue of 20% knock-in reverse convertibles linked to U.S. Steel

By Angela McDaniels

Seattle, Aug. 17 - Rabo Financial Products BV plans to price an issue of 20% knock-in reverse convertible notes due Nov. 30 linked to United States Steel Corp. stock, according to the agent for the deal, LaSalle Financial Services Inc.

The three-month convertibles will pay 5% for an annualized coupon of 20%.

The pricing date will be Aug. 25 with settlement on Aug. 30.

Payment at maturity will be determined according to the performance of United States Steel stock. If the stock trades at or below the knock-in price and closes below the initial price, investors will receive a number of United States Steel shares equal to $1,000 divided by the initial stock price. The knock-in price will be 80% of the initial price. Otherwise, investors will receive par in cash.

© 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.