02:34:11 EDT Fri 29 Mar 2024
Enter Symbol
or Name
USA
CA



Fortis Inc
Symbol FTS
Shares Issued 278,690,913
Close 2015-09-11 C$ 35.22
Market Cap C$ 9,815,493,956
Recent Sedar Documents

FP says before Emera and Fortis, there was IPL

2015-09-14 07:45 ET - In the News

See In the News (C-EMA) Emera Inc

The Financial Post reports in its Saturday, Sept. 12, edition that it so happens that before two East Coast utilities -- Fortis in late 2013 and Emera last week -- raised capital via offerings of convertible debentures sold via instalments, a Calgary-based company used the same structure two decades earlier. The Post's Barry Critchley writes that Interprovincial Pipe Line System (now Enbridge) must receive the credit for being the first to unveil such a method of financing. As with Fortis and Emera, IPL used the capital to help with the financing of an acquisition, in its case Consumers Gas Co. It was back in March, 1994, that IPL raised $500-million. The debentures, which had a term of just under one year, were to be paid for by instalments: $375 initially and the balance of $625 by March 1, 1995. As with the offering by Fortis and Emera, holders in IPL's were required to pay for the second instalment -- otherwise they would not receive the convertible debenture. The debentures paid 3.75 per cent. Given that dividends were not paid on the second instalment the effective yield on the first instalment was 10 per cent, according to Mr. Critchley.

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