New Issue: HSBC USA prices $253,000 of 10.5% reverse convertibles linked to Newmont

Laura Lutz

Des Moines, Sept. 28 - HSBC USA Inc. priced a $253,000 issue of 10.5% reverse convertible notes due Sept. 28, 2007 linked to Newmont Mining Corp. stock, according to a 424B2 filing with the Securities and Exchange Commission.

Payout at maturity will be par in cash unless Newmont stock falls below the barrier price of $35.21 during the life of the notes and finishes below its initial price on the valuation day, Sept. 25, 2007, in which case payout will be a number of Newmont shares equal to $1,000 divided by the initial share price.

Issuer:	HSBC USA Inc.
Issue:	Reverse convertible notes
Underlying stock:	Newmont Mining Corp.
Amount:	$253,000
Maturity:	Sept. 28, 2007
Price:	Par
Coupon:	10.5%, paid quarterly
Payout at maturity:	If Newmont falls below $35.21 during the life of the notes and finishes below its initial price, shares of Newmont stock equal to $1,000 divided by the initial price; otherwise, par in cash
Initial share price:	$44.01
Barrier price:	$35.21, 80% of initial share price
Pricing date:	Sept. 26
Settlement date:	Sept. 29
Agent:	HSBC Securities (USA) Inc.

© 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.