Barclays to price trigger phoenix autocallables linked to Microsoft

By Toni Weeks

San Luis Obispo, Calif., March 31 – Barclays Bank plc plans to price trigger phoenix autocallable optimization securities due April 6, 2018 linked to the common stock of Microsoft Corp., according to an FWP filing with the Securities and Exchange Commission.

If Microsoft stock closes at or above the coupon barrier – 74% to 78% of the initial share price – on a quarterly observation date, the issuer will pay a contingent coupon for that quarter at an annualized rate of 7%. Otherwise, no coupon will be paid that quarter.

If the shares close at or above the initial price on any quarterly observation date beginning Oct. 2, 2015, the notes will be called at par plus the contingent coupon.

If the notes are not called and Microsoft shares finish at or above the 74% to 78% trigger price, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will be exposed to the share price decline from the initial price.

The exact terms will be set at pricing.

The notes (Cusip: 06740D160) are expected to price April 2 and settle April 8.

UBS Financial Services Inc. and Barclays are the underwriters.

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