New Issue: Lehman sells $500,000 of 51.35% reverse exchangeables linked to Savient

By Laura Lutz

Des Moines, Oct. 15 - Lehman Brothers Holdings Inc. priced a $500,000 issue of 51.35% reverse exchangeable notes due Jan. 17, 2008 linked to the common stock of Savient Pharmaceuticals Inc., according to a 424B2 filing with the Securities and Exchange Commission.

Interest will be payable monthly.

Payout at maturity will be par unless Savient stock falls below the knock-in price of $7.635 - 50% of the initial value - during the life of the notes and finishes below its initial price of $15.27, in which case the payout will be a number of Savient shares equal to $1,000 divided by the initial share price.

Lehman Brothers Inc. is the agent.

Issuer:	Lehman Brothers Holdings Inc.
Issue:	Reverse exchangeable notes
Underlying stock:	Savient Pharmaceuticals Inc. (Nasdaq: SVNT)
Amount:	$500,000
Maturity:	Jan. 17, 2008
Coupon:	51.35%, payable monthly
Price:	Par
Payout at maturity:	Par unless Savient stock falls below the knock-in price of $7.635 during the life the notes and finishes below its initial value, in which case payout will be a number of shares equal to $1,000 divided by the initial share price
Initial price:	$15.27
Knock-in price:	$7.635, 50% of $15.27
Pricing date:	Oct. 12
Settlement date:	Oct. 17
Agent:	Lehman Brothers Inc.
Agent's fee:	1.25%

© 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.