Product Description
The Deposit Notes provide a return at the 8.5-year term maturity that is linked to the price performance, converted into Canadian dollars, of a notional reference portfolio composed of the common shares of 20 international companies. On the Maturity Payment Date, Holders will be entitled to receive, in respect of each Deposit Note held, repayment of their initial deposit amount, being $100 per Deposit Note (the “Initial Deposit Amount”). In addition, depending on the performance of the Reference Portfolio at maturity, Holders will be entitled to receive on the Maturity Payment Date a Variable Return.
Note
On October 4, 2023, Novartis AG (SW: NOVN) (“NOVN”) completed its separation from Sandoz (SW: SDZ) (“SDZ”), resulting into two independent publicly traded companies. The spin-off was completed by the distribution of one share of SDZ’s common stock for every five shares of NOVN’s common stock held. This event triggered a Potential Adjustment Event in accordance with the terms and conditions of the Deposit Notes. As such, the Reference Share Price on the Issuance Date of the common shares of NOVN was adjusted as of the closing of the markets on October 4, 2023.
On November 16, 2020, Pfizer Inc. (NYSE: PFE) (“Pfizer”) completed the transaction to spin-off its Upjohn division and combine it with Mylan N.V. (Nasdaq: MYL) to form Viatris Inc. (Nasdaq: VTRS) (“Viatris”), triggering a Potential Adjustment Event as per the terms and conditions of the Deposit Notes in respect of the common shares of Pfizer, a Reference Share in the Reference Portfolio of the Deposit Notes. As stockholders received common shares of Viatris, they were sold and reinvested in common shares of Pfizer. As a result, the Initial Value of the common shares of Pfizer was adjusted as of the closing of the markets on November 16, 2020.
On May 24, 2022, BHP Group Limited (ASE: BHP) (BHP) completed the spin-off of Woodside Energy Group Ltd (ASE: WDS) (Woodside) by the special distribution of one newly issued share of Woodside for every 5.5340 shares of BHP held. The spin-off occurred following the announcement of the merger of BHP with Woodside. This event triggered a Potential Adjustment Event as per the terms and conditions of the Deposit Notes in respect of the common shares of BHP, a Reference Share in the Reference Portfolio of the Deposit Notes. As such, the Initial Value of the common shares of BHP was adjusted as of the closing of the markets on May 24, 2022.