Citigroup MGM China Call Warrant (25046) (25046)

Citigroup MGM China Call Warrant (25046) is a European-style cash-settled call warrant issued by Citigroup Global Markets Europe AG. It provides investors with leveraged exposure to the performance of MGM China Holdings Limited's HKD-traded ordinary shares (stock code 02282), allowing potential gains if the underlying share price rises above the exercise price by expiry. Launched on January 21, 2026, with a listing date of January 26, 2026, and expiry on September 23, 2026, the warrant features a board lot of 4,000 warrants, an issue price of HK$0.150 per warrant, and settlement in Hong Kong dollars based on the average price over the five business days preceding expiry. Key metrics include an effective gearing of 3.50x, gearing of 8.35x, implied volatility of 64.50%, and a premium of 37.35%, relating to a maximum of 8,000,000 shares. As a non-collateralized structured product traded in Hong Kong, it relies on the issuer's creditworthiness and offers no dividends, with liquidity potentially provided solely by Citigroup affiliates. The warrant automatically exercises at expiry if in-the-money, highlighting its role in derivative markets for directional bets on Macau gaming operator MGM China.