By Susanna Moon
Chicago, Feb. 24 – Morgan Stanley Finance LLC priced $8.95 million of contingent income autocallable securities due Feb. 21, 2020 linked to Dollar General Corp. stock, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 8.2% if the shares close at or above the 75% downside threshold on the observation date for that quarter.
The notes will be called at par plus the contingent coupon if the shares close at or above initial level on any of the first 11 determination dates.
The payout at maturity will be par plus the final coupon unless the shares finish below the 75% downside threshold, in which case investors will lose 1% for each 1% decline.
Morgan Stanley & Co. LLC is the underwriter.
Issuer: | Morgan Stanley Finance LLC
|
Guarantor: | Morgan Stanley
|
Issue: | Contingent income autocallable securities
|
Underlying stock: | Dollar General Corp. (Symbol: DG)
|
Amount: | $8,946,680
|
Maturity: | Feb. 21, 2020
|
Coupon: | 8.2% per year, payable quarterly if stock closes at or above downside threshold level on determination date for that quarter
|
Price: | Par of $10.00
|
Payout at maturity: | Par unless stock falls by more than 25%, in which case 1% loss per 1% decline
|
Call: | At par plus contingent coupon if stock closes at or above initial level on any of the first 11 determination dates
|
Initial share price: | $77.67
|
Downside threshold: | $58.253, 75% of initial share price
|
Pricing date: | Feb. 17
|
Settlement date: | Feb. 23
|
Agent: | HSBC Securities (USA) Inc.
|
Distribution: | Morgan Stanley Smith Barney LLC
|
Fees: | 2%
|
Cusip: | 61766V438
|
|
|
© 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.