By Cristal Cody
Tupelo, Miss., Nov. 19 – Enbridge Income Fund sold C$1.08 billion of senior medium-term notes (Baa2/DBRS: BBB) in three tranches, according to the company and prospectus filings.
Enbridge priced C$330 million of floating-rate notes due Nov. 21, 2016 at par to yield the three-month Canadian Dealer Offered Rate plus 67 basis points.
In the second tranche, the company sold C$500 million of 3.95% notes due Nov. 19, 2024 at par.
Enbridge also priced C$250 million of 4.87% notes due Nov. 21, 2044 at 99.906 to yield 4.876%.
BMO Nesbitt Burns Inc., CIBC World Markets Inc. and National Bank Financial Inc. were the lead managers.
Proceeds will be used to repay the C$878 million bridge loan from parent company Enbridge Inc. and to refinance a C$200 million note that matures on Nov. 28.
Calgary, Alta.-based Enbridge Income Fund focuses on investments in energy infrastructure assets.
| Issuer: | Enbridge Income Fund
|
| Amount: | C$1.08 billion
|
| Securities: | Medium-term notes
|
| Bookrunners: | BMO Nesbitt Burns Inc., CIBC World Markets Inc. and National Bank Financial Inc.
|
| Co-managers: | HSBC Securities (Canada) Inc., RBC Dominion Securities Inc., Scotia Capital Inc. and TD Securities Inc.
|
| Pricing date: | Nov. 14
|
| Settlement date: | Nov. 19
|
| Ratings: | Moody’s: Baa2
|
| DBRS: BBB
|
| Distribution: | Canada
|
|
|
| Two-year floating-rate notes
|
| Amount: | C$330 million
|
| Maturity: | Nov. 21, 2016
|
| Price: | Par
|
| Spread: | CDOR plus 67 bps
|
| Call feature: | None
|
|
|
| Ten-year fixed-rate notes
|
| Amount: | C$500 million
|
| Maturity: | Nov. 19, 2024
|
| Coupon: | 3.95%
|
| Price: | Par
|
| Yield: | 3.95%
|
| Call feature: | Prior to Aug. 19, 2024 at Government of Canada bond yield plus 46 bps; on or after Aug. 19, 2024 at par
|
|
|
| Thirty-year fixed-rate notes
|
| Amount: | C$250 million
|
| Maturity: | Nov. 21, 2044
|
| Coupon: | 4.87%
|
| Price: | 99.906
|
| Yield: | 4.876%
|
| Call feature: | Prior to May 21, 2044 at greater of par and the Government of Canada bond yield plus 56.5 bps; on or after May 21, 2044 at par
|
|
|
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