JPMorgan plans contingent income autocallables tied to Gilead Sciences

By Susanna Moon

Chicago, May 15 – JPMorgan Chase & Co. plans to price contingent income autocallable securities due May 25, 2018 linked to Gilead Sciences, Inc. shares, according to an FWP filing with the Securities and Exchange Commission.

If Gilead shares close at or above the barrier level, 80% of the initial level, on a quarterly determination date, the notes will pay a contingent payment of at least 2.5% that quarter. The exact rate will be set at pricing.

The notes will be called at par of $10 plus the contingent coupon if Gilead shares close at or above the initial level on any quarterly determination date other than the final determination date.

The payout at maturity will be par plus the final contingent coupon unless the stock finishes below the 80% barrier level, in which case investors will receive a number of Gilead shares equal to $10 divided by the initial share price or, at the issuer’s option, the cash equivalent.

J.P. Morgan Securities LLC is the agent. Morgan Stanley Smith Barney LLC will handle distribution.

The notes will price on May 22.

The Cusip number is 48127X799.

© 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.