New Issue: Barclays sells $10 million more 10% reverse convertibles on Valero Energy

By Susanna Moon

Chicago, Jan. 11 - Barclays Bank plc priced another $10 million of 10% reverse convertible notes due Oct. 29, 2010 based on the performance of Valero Energy Corp. shares, according to a 424B3 filing with the Securities and Exchange Commission.

This brings the total issue to $12 million. The issuer sold $2 million of the notes on Oct. 30.

The payout at maturity will be par in cash unless Valero Energy shares fall below the protection price of $14.54, 75% of the initial price of $19.39, during the life of the notes and finish below the initial price in which case the payout will be 51.572976 shares of Valero Energy stock.

Barclays Capital is the agent.

Issuer:	Barclays Bank plc
Issue:	Reverse convertible notes
Underlying stock:	Valero Energy Corp. (Symbol: VLO)
Amount:	$12 million, up from $2 million
Maturity:	Oct. 29, 2010
Coupon:	10%, payable monthly
Price:	Par
Payout at maturity:	Par in cash unless Valero Energy shares fall below the protection price of $14.54, 75% of the initial price, and finish below the initial price, in which case 51.572976 shares of Valero Energy stock
Initial price:	$19.39
Protection price:	$14.54, 75% of $19.39
Exchange ratio:	51.572976
Pricing date:	Oct. 27
Settlement date:	Oct. 30 for $2 million; Jan. 11 for $10 million
Agent:	Barclays Capital
Fees:	2.5%

© 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.