By Susanna Moon
Chicago, March 25 - Morgan Stanley priced another $14 million of CMS curve and S&P 500 index-linked range accrual notes with fixed-rate conversion right due March 31, 2031, according to a 424B2 filing with the Securities and Exchange Commission.
This brings the total deal size to $15 million, up from $1 million.
The coupon will be 11% for the first two years. After that, the rate will be five times the spread of the 30-year Constant Maturity Swap rate over the two-year CMS rate for each day that the index is at least 975, up to a maximum rate of 12% - unless the issuer exercises the conversion right, in which case the coupon will revert back to the fixed rate of 11%.
Interest is payable quarterly and cannot be less than zero.
The payout at maturity will be par.
Morgan Stanley & Co. Inc. is the agent.
| Issuer: | Morgan Stanley
|
| Issue: | CMS curve and S&P 500 index-linked range accrual notes
|
| Amount: | $15 million, up from $1 million
|
| Maturity: | March 31, 2031
|
| Coupon: | 11% for two years; thereafter, five times spread of 30-year CMS rate over two-year CMS rate for each day S&P 500 is at least 975, capped at 12%, unless issuer chooses to convert rate back to 11%; payable quarterly
|
| Price: | Par
|
| Payout at maturity: | Par
|
| Pricing dates: | March 7 for $1 million, March 24 for $14 million
|
| Settlement date: | March 25
|
| Agent: | Morgan Stanley & Co. Inc.
|
| Fees: | 3.5%
|
| Cusip: | 61745E6R7
|
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