RBC plans contingent coupon barrier autocallables tied to two stocks

By Susanna Moon

Chicago, Aug. 14 – Royal Bank of Canada plans to price autocallable contingent coupon barrier notes due Aug. 29, 2019 linked to the common stocks Amgen Inc. and AbbVie Inc, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon at an annual rate of 7.8% to 8.8% if each stock closes at or above its 70% coupon barrier on the observation date for that quarter.

The notes will be called at par if each stock closes above its initial level on any observation date beginning Feb. 26, 2018.

The payout at maturity will be par unless either stock finishes below its 70% trigger level, in which case investors will receive a number shares of the worse performing stock equal to $1,000 divided by the initial share price.

RBC Capital Markets, LLC is the underwriter.

The notes will price on Aug. 25 and settle on Aug. 30.

The Cusip number is 78012K4Q7.

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