Wells plans 0.125% exchangeables on Danaher, Textron, Ingersoll-Rand

By Jennifer Chiou

New York, Feb. 23 - Wells Fargo & Co. plans to price 0.125% exchangeable notes due March 2016 linked to the common stocks of Danaher Corp. with a 35% weight, Textron Inc. with a 35% weight and Ingersoll-Rand plc with a 30% weight via Wells Fargo Securities, LLC, according to a 424B2 filing with the Securities and Exchange Commission.

Interest will be payable semiannually, and the notes are expected to price at 110.

The issuer updated when the notes may be redeemed shortly after filing the initial prospectus.

Beginning in March 2014 - instead of March 2013 - Wells Fargo may call the notes, paying cash in an amount equal to the greater of par and the basket value, which will be determined on the trading day prior to the redemption notice date.

Holders will have the right to exchange their securities at anytime for a number of shares of each basket stock equal to its exchange ratio. If notes are exchanged, the issuer may deliver either shares or the cash value of the shares.

The payout at maturity will be par plus accrued interest.

The notes (Cusip: 94986RCZ2) will price in February and settle in March.

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