By Marisa Wong
Madison, Wis., May 5 – JPMorgan Chase & Co. priced $2.58 million of contingent income autocallable securities with step-up redemption threshold level feature due May 3, 2018 linked to Las Vegas Sands Corp. stock, according to a 424B2 filing with the Securities and Exchange Commission.
If Las Vegas Sands shares close at or above the downside threshold level, 70% of the initial share price, on a quarterly determination date, the notes will pay a 2.8375% contingent payment that quarter.
The notes will be called at par of $10 plus the contingent coupon if Las Vegas Sands shares close at or above the redemption threshold level on any quarterly determination date other than the final determination date. The redemption threshold level will be 105% of the initial share price on the first through fourth determination dates, 110% of the initial share price on the fifth through eighth determination dates and 115% of the initial share price on the ninth through 11th determination dates.
If the final share price is greater than or equal to the downside threshold level, the payout at maturity will be par plus the final contingent coupon. Otherwise, investors will lose 1% for every 1% that the final share price is less than the initial share price or, at the issuer’s option, receive a number of Las Vegas Sands shares equal to $10 divided by the initial share price.
J.P. Morgan Securities LLC is the agent. Distribution is through Morgan Stanley Smith Barney LLC.
| Issuer: | JPMorgan Chase & Co.
|
| Issue: | Contingent income autocallable securities with step-up redemption threshold level feature
|
| Underlying stock: | Las Vegas Sands Corp. (Symbol: LVS)
|
| Amount: | $2,575,000
|
| Maturity: | May 3, 2018
|
| Contingent payment: | 2.8375% for quarter if Las Vegas Sands stock closes at or above downside threshold level on determination date for that quarter
|
| Price: | Par of $10.00
|
| Payout at maturity: | Par plus contingent coupon if Las Vegas Sands stock finishes at or above downside threshold; otherwise 1% loss for every 1% that the final share price is less than the initial share price or, at the issuer’s option, a number of Las Vegas Sands shares equal to $10 divided by the initial share price
|
| Call: | At par plus contingent payment if Las Vegas Sands stock closes at or above redemption threshold on any determination date other than final date; redemption threshold level will be 105% of the initial share price on the first through fourth determination dates, 110% of the initial share price on the fifth through eighth determination dates and 115% of the initial share price on the ninth through 11th determination dates
|
| Initial share price: | $52.88
|
| Downside threshold: | $37.016, 70% of initial price
|
| Pricing date: | April 30
|
| Settlement date: | May 5
|
| Agent: | J.P. Morgan Securities LLC with distribution through Morgan Stanley Smith Barney LLC
|
| Fees: | 2.5%
|
| Cusip: | 48127T194
|
|
|
© 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.
