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Preferred Share Description
Enbridge Inc. (ENB.PR.B)
3.415% Cumulative, Redeemable, Rate Reset, Series B preferred shares
Prospectus - September 23, 2011
DRBS Credit Update: July 23, 2018 - DBRS confirmed the Issuer Rating of Enbridge Inc. at BBB (high) and the ratings on the Company’s Medium-Term Notes & Unsecured Debentures at BBB (high), Fixed-to-Floating Subordinated Notes at BBB (low), Cumulative Redeemable Preferred Shares at Pfd-3 (high) and Commercial Paper at R-2 (high), all with Stable trends.
The confirmations incorporate DBRS’s assessment of ENB’s strong business risk profile, which should benefit over the medium term from its strategic plan to reposition its asset mix to a pure regulated pipeline and utility business model (demonstrated by $7.5 billion of announced non-core asset sales to date) and completion of its current large portfolio of low-risk capital projects, combined with an improving financial risk profile that should benefit from ENB’s more conservative recent funding plan (including the expected $4.0 billion consolidated debt reduction), corporate simplification and the potential for reduced structural subordination at the ENB level over time. The Stable trends incorporate DBRS’s expectation that any incremental investments in new projects would be consistent with maintaining a strong overall business risk profile and medium-term improvement in key credit metrics with the completion of the current large capital expenditure (capex) program.
Dividend Note: On June 1, 2017, the share's dividend rate was reset to 3.415%, down from the share's original 4.00% dividend rate.
- DBRS Rating
- Pfd-3 (high) Stable Trend
- DBRS Rating Date
- Shares Issued
- Issued Date
- Shares O/S
- O/S Date
- $0.85375 per share per year
- Dividend Dates
- On the 1st day of March, June, September and December
- Dividend Details
- Dividend rate is fixed at 3.415% until June 1, 2022. On June 1, 2022 and on June 1st every fifth year thereafter, the dividend rate will be reset to equal the sum of the Government of Canada Bond Yield (GCAN5YR) plus 2.40%.
- Redeemable by the corporation on June 1, 2022, and on June 1st every fifth year thereafter, at $25.00 plus all accrued and unpaid dividends.
- On June 1, 2022 and on June 1st every fifth year thereafter, holders of the Series B preferred shares will have the right to convert their shares into Cumulative, Redeemable, Series C, Floating-Rate shares and they will be entitled to receive a floating dividend equal to the sum of the Government of Canada 3-month T-Bill rate plus 2.40%. Series C share dividends are calculated and paid quarterly. On June 1, 2027 and on June 1st every five years thereafter holders of the Series C Floating-Rate shares will have the right to convert their shares into an equal number of Series B preferred shares.
- Lead Underwriter(s)
- Scotia Capital Inc., RBC Capital Markets and TD Securities.
- Dividend Reinvestment Plan
- Not available to preferred shareholders.
- Last Updated