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E Split Corp ENSPF


Primary Symbol: T.ENS Alternate Symbol(s):  T.ENS.PR.A

The objective of the Class A shares is to provide holders with non-cumulative monthly cash distributions and the opportunity for capital appreciation through exposure to the portfolio. And The investment objectives for the preferred shares is to provide holders with fixed cumulative preferential quarterly cash distributions and return the original issue price of 10.00 Dollars to holders upon maturity. The Company has a portfolio comprised primarily of common shares of Enbridge Inc. Enbridge, a North American oil and gas pipeline, gas processing and natural gas distribution company the Enbridge Common Shares or the Portfolio and intends to purchase Enbridge Common Shares from time to time in the market or through participation in future public offerings by Enbridge. The Advisor believes that the Company offers investors an opportunity to gain exposure to Enbridge, one of the worlds largest energy infrastructure companies.


TSX:ENS - Post by User

Comment by cttglvron Dec 05, 2023 5:43pm
69 Views
Post# 35769976

RE:RE:RE:Update

RE:RE:RE:UpdateThanks Obscure1, Great post as usual. I'm in your camp with regard to Enbridge and ENS. I bought more today at $12.24 although nowhere near the number you did.

A clip ftom the press release leaves me a little confused. It states the new offering would be non-dilutive to the common and preferred shares. When issuing that many shares how can it be considered as such?

"
The Class A Shares were offered at a price of $12.55 per Class A Share to yield 12.4% and the Preferred Shares were offered at a price of $9.80 per Preferred Share to yield 7.5% to maturity. The Class A Share and Preferred Share offering prices were determined so as to be non-dilutive to the most recently calculated net asset value per unit of the Company (calculated as at December 1, 2023), as adjusted for dividends and certain expenses to be accrued prior to or upon settlement of the offering."

I have been watching the trend of Enbridge. It looks to be continuing it's slow and steady climb off the lows. I like the gas assets they purchased and should be net accretive to earnings. If Fed policy does pivot to a start of rate cuts or even the hint of such, high dividend stocks like Enbridge should take off to the upside.

I feel ENS may be flat for the next few weeks but if Enbridge continues it's slow climb the premium will only get smaller. One again that old human trait "Greed" will kick in and ENS will be off to the races again.

One last thought on your share issuance idea. I had the same thought early this year and sold all my ENS in my registered accounts at about $15.25. The other half in my non-registered account I kep for income. I was wrong but didn't buy back in until recently. It was your earlier post that gave me the push to repurchase and then some.

Thanks again and please keep posting :)
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