Enbridge Income Fund Holdings Inc. EBGUF

why?

[autofocus111]

TORONTO, March 27, 2017 /CNW/ - The following issues have been halted by IIROC:

Company: Enbridge Income Fund

TSX Symbol: ENF (all issues)

Reason: Pending News

Halt Time (ET): 16:01

IIROC can make a decision to impose a temporary suspension (halt) of trading in a security of a publicly-listed company. Trading halts are implemented to ensure a fair and orderly market. IIROC is the national self-regulatory organization which oversees all investment dealers and trading activity on debt and equity marketplaces in Canada.

[alialiali]

This post has been removed in accordance with Community Policy

[radar17]

Half a billion $$.  Wow.

[autofocus111]

I believe it is not the first time they've done a secondary of this size. I was under the impression that they did not forsee the need to do any offerings in 2017 but obviously I was wrong.

[Johnnysback]

They are issuing 12% more shares.... questions I have, does this affect the dividend growth of about 10% going forward? this is dilutive to their share holdings and they are going to have to pay out a lot more dividends. Is it common shares? I should go back and read it more carefully. They must want to buy something and hopefully it will be accretive to shareholder value. 500 million for a 4.5

[bobobot]

Johnny, I don't see any new shares being issued here. Enbridge is selling some of their holdings in ENF, ENF isn't issuing new shares. So this shouldn't impact ENF at all. Or am I missing something here?

[Johnnysback]

New shares are being issued at $33 approx... its ENF shares, see the drop today to around the issue price.. 

[Johnnysback]

Ok I get it now..... whats happening here is ENB - the parent company is issuing shares..... likely out of their treasury of ENF shares......... and ENB gets the money not ENF. Dilutive to ENF shareholders, ENB using ENF like its own personal piggy bank I suppose.. 

[autofocus111]

Correct. I read through the press release. No new shares are being issued. ENB is merely selling part of its holdings in ENF to the public. ENF stated at their last earnings report they would not need to issue any new equity to fund their growth projects in 2017.   >>>The Secondary Offering of EIFH shares is consistent with Enbridge's previously announced strategy to

[hd812347ue8321j]

Agree. This quote I found somewhere onon the web summarizes it pretty well, "A primary offering is where a company sells new shares to investors, while a secondary offering allows certain shareholders to offer their shares to other investors. IPOs often include both a primary offering by the company and a much smaller secondary offering by major shareholders who want to liquidate some of

[autofocus111]

Secondary offering ----Enbridge Income Fund Holdings Inc. (TSX:ENF) (EIFH or the Company) announced that the Company and Enbridge Inc. (TSX:ENB) (Enbridge), have entered into an agreement with a syndicate of underwriters (the Underwriters) led by BMO Capital Markets, CIBC Capital Markets and Scotiabank, pursuant to which the Underwriters have agreed to purchase, and Enbridge has agreed to sell