Fortis Inc. will delist the instalment receipts issued by FortisUS Holdings Nova Scotia Ltd. representing 4-per-cent convertible unsecured subordinated debentures of Fortis at the close of business on Monday, Oct. 27, 2014, according to the Toronto Stock Exchange.

On Oct. 15, 2014, Fortis issued a news release reminding the holders of the debentures represented by instalment receipts that the final payment of $667 per $1,000 of principal amount is due by 3:30 p.m. (Toronto time) on Oct. 27, 2014.

On the final instalment date debentureholders will receive accrued and unpaid interest of $6.2637 per $1,000 of principal amount, and on the following day debentureholders that paid the final instalment before the deadline will receive a make-whole payment of $8.1473 per $1,000 of principal amount, representing the interest that would have accrued from the day following the final instalment date to and including Jan. 9, 2015.

Debentureholders that paid the final instalment before the deadline have the right to convert their debentures into Fortis shares at $30.72 per share from the final instalment date to redemption or maturity.

On the day after the final instalment date, the interest rate payable on the debentures will fall to 0 per cent and interest will cease to accrue. Therefore, a debentureholder that does not exercise the conversion privilege on the final instalment date will hold a debenture that pays 0-per-cent interest and is redeemable by Fortis, in whole or in part, on any trading after the final instalment date at a price equal to the principal amount. The debentures will not be listed on an exchange.

The TSX will halt trading in the instalment receipts at the open on Oct. 27, 2014.