By Wendy Van Sickle
Columbus, Ohio, Sept. 19 – Bank of Montreal priced $2.45 million of autocallable buffer notes with contingent coupons due March 17, 2025 linked to the common stock of EOG Resources, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly coupon equal to 8% per year if the stock closes at or above its coupon barrier level, 75% of its initial price, on the relevant observation date.
The notes will be automatically redeemed at par plus the contingent coupon if the stock closes at or above its initial price on any monthly observation date starting after six months.
If the notes are not called and the stock finishes at or above its 75% buffer level, the payout at maturity will be par plus the final coupon.
Otherwise, investors will lose 1% for every 1% that the stock falls below 25%, payable as cash or an equivalent number of shares at the issuer’s option.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
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| Issue: | Autocallable buffer notes with contingent coupons
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| Underlying stock: | EOG Resources, Inc.
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| Amount: | $2,452,000
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| Maturity: | March 17, 2025
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| Coupon: | 8% per year, payable monthly if stock closes at or above coupon barrier level on related observation date
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| Price: | Par
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| Payout at maturity: | If the stock finishes at or above buffer level, par plus final coupon; otherwise, lose 1% for every 1% decline of the stock beyond 25%, payable as cash or an equivalent number of shares at the issuer’s option
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| Call: | At par plus contingent coupon if the stock closes at or above initial price on any monthly observation date starting after six months
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| Initial price: | $134.09
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| Coupon barrier: | $100.57; 75% of initial price
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| Buffer level: | $100.57; 75% of initial price
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| Pricing date: | Sept. 12
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| Settlement date: | Sept. 15
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| Agent: | BMO Capital Markets Corp.
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| Fees: | 2.95%
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| Cusip: | 06369NLV1
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