Wells Fargo to price securities exchangeable into Caterpillar stock

By Marisa Wong

Madison, Wis., March 15 - Wells Fargo & Co. plans to price 0% optionally exchangeable securities due March 2019 exchangeable for the common stock of Caterpillar Inc., according to an FWP filing with the Securities and Exchange Commission.

Beginning in April, each security is exchangeable for a number of shares of Caterpillar stock equal to the exchange ratio, which will be determined at pricing, or the cash value of those shares.

The notes are callable at any time. The redemption price will equal the greater of (a) par and (b) the exchange ratio multiplied by the closing share price on the trading day prior to the redemption notice date.

If the notes are not exchanged or redeemed, the payout at maturity will be a cash amount equal to the greater of (a) par and (b) the exchange ratio multiplied by the closing share price on the final exchange date.

The securities (Cusip: 94986RJB8) will price and settle in March.

Wells Fargo Securities, LLC is the agent.

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