By William Gullotti
Buffalo, N.Y., July 21 – UBS AG, London Branch priced $892,000 of trigger autocallable fixed to contingent yield notes due July 1, 2027 linked to the common stock of U.S. Bancorp, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a quarterly coupon at the rate of 9% per year, at a fixed rate for the first four payment dates. Starting with the fifth coupon payment date, the coupon will only be payable if the stock closes at or above its coupon barrier, 60% of its initial level, on the related observation date.
The notes will be automatically called at par plus coupon if the shares of the stock close at or above initial share price on any quarterly call observation date starting Sept. 28, 2023.
If the notes are not called and the final share price is greater than or equal to the downside threshold level, 60% of the initial share price, the payout at maturity will be par plus the final coupon. Otherwise, investors will lose 1% for every 1% that the final share price declines from its initial share price.
UBS Securities LLC and UBS Investment Bank are the agents.
| Issuer: | UBS AG, London Branch
|
| Issue: | Trigger autocallable fixed to contingent yield notes
|
| Underlying stock: | U.S. Bancorp
|
| Amount: | $1,864,000
|
| Maturity: | July 1, 2027
|
| Coupon: | 9% per year, paid quarterly at a fixed rate for first four payment dates, then if the stock closes at or above its coupon barrier on any related observation date
|
| Price: | Par
|
| Payout at maturity: | Par plus the final coupon unless the stock finishes below downside threshold level, in which case 1% loss for each 1% decline from initial level
|
| Call: | Automatically at par plus coupon if the stock closes at or above initial level on any quarterly call observation date starting Sept. 28, 2023
|
| Initial level: | $46.89
|
| Coupon barrier level: | $28.13; 60% of initial level
|
| Downside threshold: | $28.13; 60% of initial level
|
| Pricing date: | June 28
|
| Settlement date: | June 30
|
| Agents: | UBS Securities LLC and UBS Investment Bank
|
| Fees: | 3.35%
|
| Cusip: | 90279FKN0
|
|
|
© 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.
