Barclays to price contingent income autocallables linked to Alphabet

By Sarah Lizee

Olympia, Wash., April 17 – Barclays Bank plc plans to price contingent income autocallable securities with a step-up redemption threshold feature due April 29, 2022 linked to the common stock of Alphabet Inc., according to a 424B2 filing with the Securities and Exchange Commission.

If Alphabet shares close at or above the downside threshold level, 80% of the initial share price, on a quarterly determination date, the notes will pay a contingent payment that quarter at an annualized rate of at least 8.5%. The exact rate will be set at pricing.

The notes will be called at par of $10 plus the contingent coupon if Alphabet shares close at or above the applicable redemption threshold price on any quarterly determination date other than the final determination date. The redemption threshold level will be 105% of the initial price for the first year, stepping up to 5% each year to a final redemption threshold level of 115% in the final year.

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.

Barclays is the agent. Morgan Stanley Wealth Management is a dealer.

The notes are expected to price April 26.

The Cusip number is 06747A565.

© 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.