RBC plans 11.25% reverse convertibles linked to 3D Systems

By Marisa Wong

Madison, Wis., Dec. 18 - Royal Bank of Canada plans to price reverse convertible notes due March 31, 2014 linked to the common stock of 3D Systems Corp., according to an FWP filing with the Securities and Exchange Commission.

The three-month notes carry an annualized coupon of 11.25%. Interest is payable monthly.

The payout at maturity will be par unless 3D Systems stock falls below the barrier price, 70% of the initial share price, during the life of the notes and finishes below the initial share price, in which case the payout will be a number of 3D Systems shares equal to $1,000 divided by the initial share price or, at RBC's option, the value of those shares in cash.

RBC Capital Markets LLC is the underwriter.

The notes will price Dec. 27 and settle Dec. 31.

The Cusip number is 78010ULR6.

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