CALGARY, ALBERTA–(Marketwired – Dec. 7, 2017) – Enbridge Income Fund Holdings Inc. (the Company) (TSX:ENF) today announced the closing of its previously announced public offering (the Offering) of common shares (Common Shares) of the Company. The Company, through a syndicate of underwriters led by Scotiabank, RBC Capital Markets and TD Securities Inc., issued 20,683,900 Common Shares, inclusive of 2,697,900 Common Shares issued on full exercise of the underwriters’ over-allotment option, at a price of $27.80 for gross proceeds of $575,012,420.
Concurrent with closing of the Offering, Enbridge Inc. (TSX:ENB)(NYSE:ENB) subscribed for 5,138,697 Common Shares on a private placement basis at a price of $27.80 for gross proceeds of $142,855,777 to maintain its 19.9 percent ownership interest in the Company.
Proceeds from the Offering and the concurrent private placement will be used to subscribe for 25,822,597 ordinary units (Fund Units) of Enbridge Income Fund (the Fund) at $27.80 per unit for gross proceeds to the Fund of $717,868,197. The proceeds from the issuance of the Fund Units will be used to repay short-term indebtedness and fund growth projects associated with the Fund’s Canadian liquids pipeline assets.
The Company now holds 70.5 percent of the issued and outstanding Fund Units, representing a 21.8 percent economic interest in the Fund and its investments (the Fund Group). Enbridge Inc. owns the remaining Fund Units and economic interest in the Fund Group.
This news release does not constitute an offer to sell or a solicitation of an offer to buy the Common Shares in any jurisdiction. The Common Shares offered have not been registered under the United State Securities Act of 1933, as amended, and may not be offered or sold within the United States.