By Marisa Wong
Los Angeles, Dec. 29 – Royal Bank of Canada priced $15.41 million of 12.5% STEP Income Securities due Jan. 6, 2023 linked to the common stock of Uber Technologies, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
Interest is payable quarterly.
If the shares finish at or above the step level, 112.5% of the initial share price, the payout at maturity will be par of $10 plus 9.17%.
If the shares finish below the step level but at or above the initial share price, the payout will be par.
Otherwise, investors will be fully exposed to any decline in the share price.
BofA Securities Inc. is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | STEP Income Securities
|
| Underlying stock: | Uber Technologies, Inc. (NYSE: UBER)
|
| Amount: | $15,408,930
|
| Maturity: | Jan. 6, 2023
|
| Coupon: | 12.5%, payable quarterly
|
| Price: | Par of $10
|
| Payout at maturity: | If the shares finish at or above step level, par plus 9.17%; if the shares finish below step level but at or above initial share price, par; otherwise, 1% loss for every 1% decline from initial price
|
| Initial share price: | $42.72
|
| Step level: | $48.06, 112.5% of the initial price
|
| Pricing date: | Dec. 22
|
| Settlement date: | Jan. 3
|
| Underwriter: | BofA Securities Inc.
|
| Fees: | 1.5%
|
| Cusip: | 78015B609
|
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