Published on 5/29/2008 in the Prospect News Structured Products Daily.
New Issue: RBC prices $757,000 14.75% RevCons linked to Apple
By E. Janene Geiss
Philadelphia, May 29 - Royal Bank of Canada priced $757,000 of 14.75% annualized reverse convertible notes (RevCons) due Aug. 29, 2008 linked to the common stock of Apple Inc., according to a 424B2 filing with the Securities and Exchange Commission.
Interest is payable monthly.
The payout at maturity will be par unless Apple stock falls by more than 20% during the life of the notes and finishes below the initial share price, in which case the payout will be a number of Apple shares equal to $1,000 divided by the initial share price or, at the bank's option, the equivalent cash value.
RBC Capital Markets Corp. is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | Reverse convertible notes (RevCons)
|
| Underlying stock: | Apple Inc. (Symbol: AAPL)
|
| Amount: | $757,000
|
| Maturity: | Aug. 29, 2008
|
| Coupon: | 14.75%, payable monthly
|
| Price: | Par
|
| Payout at maturity: | Par in cash if the stock stays at or above the protection price of $149.14 during the life of the notes or finishes at or above the initial price; otherwise shares of Apple stock equal to $1,000 divided by the initial price
|
| Initial share price: | $186.43
|
| Barrier price: | $149.14, 80% of initial share price
|
| Pricing date: | May 27
|
| Settlement date: | May 30
|
| Underwriter: | RBC Capital Markets Corp.
|
| Fees: | 1.5%
|
© 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.
