By Kiku Steinfeld
Chicago, Dec. 3 – HSBC USA Inc. priced $1.5 million of autocallable contingent income barrier notes due Aug. 16, 2024 linked to the least performing of the shares of Blink Charging Co. and NIO Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annualized rate of 27.5% if each stock closes at or above its coupon trigger level, 60% of the initial level, on the observation date for that period.
The notes will be called at par plus the coupon if each stock closes at or above its initial share price on any monthly call observation date after three months.
If the notes are not called and each stock finishes at or above its 50% barrier level, the payout at maturity will be par. Otherwise, investors will lose 1% for each 1% decline of the least-performing stock from its initial level.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
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| Issue: | Autocallable contingent income barrier notes
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| Underlying stocks: | Blink Charging Co. and NIO Inc.
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| Amount: | $1.5 million
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| Maturity: | Aug. 16, 2024
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| Coupon: | 27.5% annual rate, payable monthly if each stock closes at or above coupon trigger level on observation date for that period
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| Price: | Par
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| Payout at maturity: | If each stock finishes at or above barrier level, par; otherwise, 1% loss for each 1% decline of the least-performing stock from initial level
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| Call: | At par plus coupon if each stock closes at or above initial price on any monthly call observation date after three months
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| Initial levels: | $36 for Blink and $43.97 for NIO
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| Coupon trigger levels: | $21.60 for Blink and $26.382 for NIO, 60% of initial prices
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| Barrier levels: | $18 for Blink and $21.985 for NIO, 50% of initial prices
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| Pricing date: | Aug. 11
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| Settlement date: | Aug. 16
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| Agent: | HSBC Securities (USA) Inc.
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| Fees: | 3.25%
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| Cusip: | 40439JJJ5
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