By William Gullotti
Buffalo, N.Y., Jan. 30 – JPMorgan Chase Financial Co. LLC priced $1.97 million of 0% market-linked securities – autocallable with contingent coupon with memory feature and contingent downside due Jan. 22, 2027 linked to the stock performance of Hershey Co., Bunge Global SA and Archer-Daniels-Midland Co., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be guaranteed by JPMorgan Chase & Co.
The notes will pay a contingent quarterly interest payment at the rate of 10.25% per year if each stock closes at or above the coupon barrier level, 70% of the initial level, on the observation date for that period. Previously unpaid interest will be automatically included whenever an interest payment is made.
The notes will be automatically called at par plus coupon if each stock closes at or above initial levels on any quarterly observation date after six months.
The payout at maturity will be par plus the final coupon if each stock finishes at or above its coupon barrier.
If the worst performer finishes below its coupon barrier but at or above its 60% threshold level, the payout will be par. Otherwise, investors will lose 1% for every 1% decline of the worst performer from its initial level.
J.P. Morgan Securities LLC and Wells Fargo Securities, LLC are the agents.
| Issuer: | JPMorgan Chase Financial Co. LLC
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| Guarantor: | JPMorgan Chase & Co.
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| Issue: | Market-linked securities – autocallable with contingent coupon and contingent downside
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| Underlying stocks: | Hershey Co., Bunge Global SA, Archer-Daniels-Midland Co.
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| Amount: | $1,966,000
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| Maturity: | Jan. 22, 2027
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| Coupon: | 10.25% annual rate, payable quarterly if each stock closes at or above coupon barrier level on the relevant observation date; coupon payment events will automatically include any previously unpaid coupons
|
| Level: | Par
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| Payout at maturity: | Par plus final coupon if each stock finishes at or above coupon barrier; if worst performer finishes below coupon barrier but at or above threshold level, par; otherwise, full exposure to decline of worst performer from initial level
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| Call: | Automatically at par plus coupon if each stock closes at or above initial level on any quarterly observation date after six months
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| Initial levels: | $190.46 for Hershey, $92.68 for Bunge, $68.19 for A-D-M
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| Coupon barriers: | $133.322 for Hershey, $64.876 for Bunge, $47.733 for A-D-M; 70% of initial levels
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| Threshold levels: | $114.276 for Hershey, $55.608 for Bunge, $40.914 for A-D-M; 60% of initial levels
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| Pricing date: | Jan. 19
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| Settlement date: | Jan. 24
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| Agents: | J.P. Morgan Securities LLC and Wells Fargo Securities, LLC
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| Fees: | 2.325%
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| Cusip: | 48134TBX1
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