By Taylor Fox
New York, Dec. 21 – Bank of Montreal priced $961,000 of autocallable reverse convertible notes with contingent coupons due Jan. 18, 2022 linked to the common stock of Schlumberger NV, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annual rate of 11% if the stock closes above its 65% coupon barrier level on the related observation date.
The notes will be called at par if the shares close at or above the initial share price on any monthly observation date after six months.
If the notes are not called, the payout at maturity will be par unless the shares finish below their trigger level, 65% of their initial price, in which case investors will receive a number of shares equal to $1,000 divided by the initial share price or, at the issuer’s option, an amount in cash equal to the value of those shares.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
|
| Issue: | Autocallable reverse convertible notes
|
| Underlying stock: | Schlumberger NV
|
| Amount: | $961,000
|
| Maturity: | Jan. 18, 2022
|
| Coupon: | 11% annual rate, payable monthly if stock closes above coupon barrier level on related observation date
|
| Price: | Par
|
| Payout at maturity: | Par unless stock finishes below trigger price, in which case a number of shares equal to $1,000 divided by the initial share price or cash value
|
| Call: | At par if shares close at or above initial share price on any monthly trigger observation date after six months
|
| Initial level: | $22.94
|
| Trigger price: | $14.91; 65% of initial share price
|
| Pricing date: | Dec. 11
|
| Settlement date: | Dec. 16
|
| Agent: | BMO Capital Markets Corp.
|
| Fees: | 2.15%
|
| Cusip: | 06368EA28
|
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