Chicago, Feb. 7 – Royal Bank of Canada priced $1 million of issuer callable contingent coupon barrier notes due April 19, 2023 linked to the common stock of Freeport-McMoRan Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes pay a contingent quarterly coupon at an annual rate of 16.5% if the stock closes at or above its coupon barrier price, 70% of its initial price, on the corresponding observation date.
The notes may be called at par plus the coupon quarterly on any coupon payment date.
If the notes are not called, the payout at maturity will be par plus the final coupon unless the stock finishes below its 70% trigger price, in which case investors will be fully exposed to the decline, payable in cash or shares at the issuer’s option.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | Issuer callable contingent coupon barrier notes
|
| Underlying stock: | Freeport-McMoRan Inc.
|
| Amount: | $1,000,000
|
| Maturity: | April 19, 2023
|
| Coupon: | 16.5% annual rate, payable quarterly if stock closes at or above coupon barrier price on the corresponding observation date
|
| Price: | Par
|
| Payout at maturity: | Par plus the final coupon unless stock finishes below trigger price, in which case full exposure to decline
|
| Call option: | At par plus coupon on any quarterly coupon payment date
|
| Initial share price: | $36.31
|
| Coupon barrier price: | $25.42; 70% of initial share price
|
| Trigger price: | $25.42; 70% of initial share price
|
| Pricing date: | April 14
|
| Settlement date: | April 19
|
| Underwriter: | RBC Capital Markets, LLC
|
| Fees: | 1%
|
| Cusip: | 78013G2A2
|
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