By Jennifer Chiou
New York, March 18 - Morgan Stanley priced $20 million of fixed-to-floating conversion notes due March 23, 2026, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be payable quarterly.
The coupon will initially be fixed at 6% for three years. From March 23, 2014, the rate will accrue at a per-year rate multiplied by the proportion of days on which six-month Libor is 6% or less. The per-year rate is 7% beginning on March 23, 2014, stepping up to 8% on March 23, 2017, to 9% on March 23, 2020 and to 10% on March 23, 2023 until maturity.
The payment at maturity will be par plus accrued interest.
Beginning on March 23, 2014, the issuer may exercise its coupon conversion right to convert the notes, resulting in each of the subsequent interest payment periods to revert back to the fixed rate of 6%.
Morgan Stanley & Co. Inc. is the agent.
| Issuer: | Morgan Stanley
|
| Issue: | Fixed-to-floating conversion notes
|
| Amount: | $20 million
|
| Maturity: | March 23, 2026
|
| Coupon: | 6% for first three years; thereafter the rate will accrue at a per-year rate multiplied by the proportion of days on which six-month Libor is 6% or less; per-year rate is 7% beginning on March 23, 2014, stepping up to 8% on March 23, 2017, to 9% on March 23, 2020 and to 10% on March 23, 2023 until maturity; payable quarterly
|
| Price: | Par
|
| Payout at maturity: | Par plus accrued interest
|
| Coupon conversion: | Beginning on March 23, 2014, issuer may exercise coupon conversion right to convert the notes, resulting in each subsequent interest payment period to revert back to the fixed rate of 6%
|
| Pricing date: | March 18
|
| Settlement date: | March 23
|
| Agent: | Morgan Stanley & Co. Inc.
|
| Fees: | 2.25%
|
| Cusip: | 61745E6D8
|
© 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.
