By Devika Patel
Knoxville, Tenn., July 17 – HSBC USA Inc. priced $1.55 million of 10.4% autocallable yield notes due July 19, 2018 linked to the three common stocks, according to a 424B2 filing with the Securities and Exchange Commission.
The basket includes the common stocks of AbbVie Inc., Bristol-Myers Squibb Co. and Merck & Co., Inc.
Interest is payable quarterly.
The notes will be called at par if each stock closes at or above its initial level on any quarterly review date beginning Oct. 16, 2017.
The payout at maturity will be par unless any basket stock finishes below its 75% trigger level, in which case investors will receive a number of shares of the worst performing stock equal to the principal divided by the initial share price or, at the company’s option, the cash equivalent.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable yield notes
|
| Underlying stocks: | AbbVie Inc., Bristol-Myers Squibb Co. and Merck & Co., Inc.
|
| Amount: | $1.55 million
|
| Maturity: | July 19, 2018
|
| Coupon: | 10.4%, payable quarterly
|
| Price: | Par
|
| Payout at maturity: | Par unless any stock finishes below its 75% trigger level, in which case a number of shares of the worst performing stock equal to the principal divided by the initial share price or the cash equivalent
|
| Call: | Automatically at par if stocks close at or above their initial levels on any quarterly review date beginning Oct. 16, 2017
|
| Initial share prices: | $73.11 for AbbVie, $55.15 for Bristol-Myers and $63.06 for Merck
|
| Trigger share prices: | $54.83 for AbbVie, $41.36 for Bristol-Myers and $47.30 for Merck, 75% of initial levels
|
| Pricing date: | July 14
|
| Settlement date: | July 19
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 1%
|
| Cusip: | 40435G600
|
|
|
© 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.
