By Susanna Moon
Chicago, May 29 – Royal Bank of Canada priced $1 million of trigger phoenix autocallable optimization securities due Dec. 2, 2015 linked to the worse performing of the common stocks of Celgene Corp. and Gilead Sciences, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 11% if each stock closes at or above its barrier level – 80% of the initial price – on the observation date for that quarter.
The notes will be called at par if each stock closes at or above its initial price on any quarterly observation date.
The payout at maturity will be par plus the contingent coupon unless either stock finishes below the 80% trigger level, in which case investors will receive par plus the return of the worse performing stock.
UBS Financial Services Inc. and RBC Capital Markets, LLC are the agents.
| Issuer: | Royal Bank of Canada
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| Issue: | Trigger phoenix autocallable optimization securities
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| Underlying stocks: | Celgene Corp. (Symbol: CELG), Gilead Sciences, Inc. (Symbol: GILD)
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| Amount: | $1 million
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| Maturity: | Dec. 2, 2015
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| Coupon: | 11%, payable quarterly if each stock closes at or above barrier price on observation date for that quarter
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| Price: | Par of $10
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| Payout at maturity: | Par plus contingent coupon unless either stock finishes below trigger level, in which case par plus the return of the worse performing stock
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| Call: | At par plus contingent coupon if each stock closes at or above initial price on a quarterly observation date
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| Initial levels: | $114.46 for Celgene, $109.77 for Gilead
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| Barrier levels: | 80% of initial levels
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| Pricing date: | May 26
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| Settlement date: | May 29
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| Agents: | UBS Financial Services Inc. and RBC Capital Markets, LLC
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| Fees: | 1.75%
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| Cusip: | 78012KEN3
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