CIBC plans contingent coupon autocallables linked to Barrick Gold

By Toni Weeks

San Luis Obispo, Calif., April 13 – Canadian Imperial Bank of Commerce plans to price autocallable equity-linked notes due April 30, 2018 tied to the common stock of Barrick Gold Corp., according to a 424B3 filing with the Securities and Exchange Commission.

The notes will pay a contingent coupon of 11.4% per year if the Barrick Gold stock price is equal to or greater than the barrier price, 70% of the initial price, on any quarterly valuation date.

The notes will be automatically called at par plus interest if the price of Barrick Gold stock is greater than or equal to the initial price on any quarterly valuation date beginning April 27, 2016.

If the notes are not called and the final share price is at least 70% of the initial price, the payout at maturity will be par plus the final coupon. Otherwise, investors will be fully exposed to the decline in the stock price from the initial price.

The notes (Cusip: 13605WAM3) are expected to price April 27 and settle April 30.

Janney Montgomery Scott is the underwriter.

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