The ENB share price has been DOWN 19 days and only UP 5 days since ENB announced it intention to raise another $2.7 billion to finance the third and final lef of the natgas deal with Dominion.
The ENB share price has dropped $2.76 from the closing price prior to the announcement. That represents a 5 1/2% drop. How much of the drop can be attributed to market conditions and how much to front running the Raise is anyone's guess.
My gut instinct is that the ENB share price for the deal will be about $2 per share lower than the market price at the time of the announcement. If history repeats itself, the share price of ENB will recover a chunk of the discounted price by the end of the day. Last time around, the ENB share price backed off even more than the deal price for a few weeks but I don't see that happening this time around as most if not all of the uncertainty of the deal has been removed.
What does any of the above have to do with ENS?
Not much as ENS shareholders are very passive for the most part.
Unfortunately, Middlefield is always lying in the weeds, waiting for moments when ENS shareholders are not responding to a sudden drop in the ENB share price. If those moments create a situation where Middlefield can issue shares at a discount (to entice retail clients of the investment bankers to buy) and still cover the approximately $3 million cost associated with the Raise that gets paid to the dealers and others with their hands out, Middlefield won't hesitate to hit us with yet another Raise.
I will be watching and trying to get out of the way of the next Raise. Whether I get out pre-Raise or not, I will be adding as the price of ENB is getting to a "set it and forget it" level.