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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

Post by Obscure1on Aug 16, 2024 2:57pm
132 Views
Post# 36183139

Putting the discount to the NAV into perspective

Putting the discount to the NAV into perspective

Now that ENB has gone ex-divi and the pros have had time to squeeze as many shares out of weak hands, it is time to look at ENS vs ENB as an investment

As the time of writing, ENB is trading at $52.96.

ENS is trading at $11.89 which is a 7.24% discount to its NAV. 

Buying ENS at the current price is equivalent to buying ENB at  $52.96 x 0.9276 = $49.12

Would you buy ENB at $49.12, which is $3.84 below the market price?

I have always maintained that ENS should trade at a reasonable (5% at least) Premium to its NAV as long as the future of ENB looks positive.   

i would be using this opportunity to add ENS if I didn't already have a full position and then some. 

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