UBS plans trigger phoenix autocallable securities linked to 3M shares

By Susanna Moon

Chicago, Aug. 9 - UBS AG, London Branch plans to price trigger phoenix autocallable optimization securities due Aug. 16, 2012 linked to 3M Co. shares, according to an FWP filing with the Securities and Exchange Commission.

If 3M stock closes at or above the trigger price - 75% of the initial share price - on a quarterly observation date, the issuer will pay a contingent coupon of 8.15% to 12.15% per year for that quarter. The exact rate will be set at pricing.

If the share price closes at or above the initial price on any observation date, the notes will be called at par of $10 plus the contingent coupon.

If the notes are not called and 3M shares finish at or above the trigger price, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will be exposed to the share price decline.

UBS Financial Services Inc. and UBS Investment Bank are the underwriters.

The notes will price on Aug. 12 and settle on Aug. 17.

The Cusip number is 90268B723.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.