10:26:55 EDT Thu 28 Mar 2024
Enter Symbol
or Name
USA
CA



Enbridge Inc
Symbol ENB
Shares Issued 846,209,196
Close 2014-08-11 C$ 53.52
Market Cap C$ 45,289,116,170
Recent Sedar Documents

Globe says Enbridge unlikely to merge subsidiaries

2014-08-12 05:59 ET - In the News

The Globe and Mail reports in its Tuesday edition that Kinder Morgan bills its $44-billion (U.S.) restructuring as a way to simplify its business and cut its cost of capital by putting all its subsidiaries under a single umbrella. The Globe's Jeffrey Jones writes Canada's major pipeline companies, however, are not likely to follow suit any time soon. Enbridge uses its United States affiliate, Enbridge Energy Partners LP (EEP), as an alternative funding vehicle as it pursues about $37-billion (Canadian) of commercially secured growth projects. First Energy Capital analyst Steven Paget notes Enbridge recently restructured the 34-per-cent-owned unit to reduce its cost of capital. EEP's dividend yield is 2.5 per cent higher than the parent company's, meaning Enbridge would have to shell out plenty of cash for its subsidiary or offer its own shares, which would spell a dividend cut for those with EEP units. Mr. Paget says, "Also, that would be asking people now getting paid in U.S. dollars to either get some sort of more complicated thing or getting paid in Canadian dollars, and I'm not sure they would like that." Enbridge also owns 19.9 per cent of the Enbridge Income Fund.

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