Enbridge Inc. Announces \$2 Billion Senior Notes Offering

Key Points

• Enbridge Inc. (NYSE: ENB) has completed a major debt offering, issuing US\$2 billion of senior notes in two tranches.
• The offering comprises US\$1 billion of 4.850% Senior Notes due 2031 and US\$1 billion of 5.450% Senior Notes due 2036.
• The notes are fully and unconditionally guaranteed on a senior unsecured basis by certain Enbridge subsidiaries, including Spectra Energy Partners, LP and Enbridge Energy Partners, L.P.
• The net proceeds will be used as specified in the company’s prospectus, which typically includes general corporate purposes, debt repayment, and funding of ongoing projects.
• The offering was registered under the company’s shelf Registration Statement (No. 333-289186) filed with the SEC.
• Joint book-running managers include Barclays Capital Inc., BofA Securities, Inc., Citigroup Global Markets Inc., and J.P. Morgan Securities LLC, among others.
• The notes will be listed on the New York Stock Exchange under the trading symbol “ENB”.

Details of the Debt Offering

Enbridge Inc., a leading North American energy infrastructure company, has successfully closed an offering of senior unsecured notes totaling US\$2 billion. The issuance is split into two equal tranches:

• US\$1,000,000,000 of 4.850% Senior Notes due 2031
  Re-offer Yield: 4.882%
  Spread to Treasury: +0.830%
  CUSIP/ISIN: 29250N CQ6 / US29250NCQ68
  Price to Public: 99.822%
• US\$1,000,000,000 of 5.450% Senior Notes due 2036
  Re-offer Yield: 5.460%
  Spread to Treasury: +1.050%
  CUSIP/ISIN: 29250N CR4 / US29250NCR42
  Price to Public: 99.896%

The issue and settlement dates were March 24, 2026 and March 27, 2026 (T+3), respectively. The offering was made pursuant to a Registration Statement filed with the SEC and included in the company’s ongoing shelf registration program.

Guarantors and Underwriters

The notes are guaranteed by key subsidiaries, notably Spectra Energy Partners, LP and Enbridge Energy Partners, L.P. This enhancement is expected to strengthen the credit profile of the notes and appeal to a broad investor base.

The offering was managed by a syndicate of leading investment banks, acting as joint book-running managers and underwriters, including:

• Barclays Capital Inc.
• BofA Securities, Inc.
• Citigroup Global Markets Inc.
• J.P. Morgan Securities LLC
• Mizuho Securities USA LLC
• SMBC Nikko Securities America, Inc.
• And several others

Use of Proceeds

While the specific use of proceeds is as per the company’s filings, Enbridge typically applies such funds toward general corporate purposes, including, but not limited to, repayment of indebtedness, capital expenditures, and funding of ongoing or future projects. These actions may help improve the company’s balance sheet flexibility and support its growth initiatives.

Shareholder Considerations and Potential Impact

• Debt Issuance and Leverage: The \$2 billion in new senior notes will increase Enbridge’s debt load. Investors should monitor potential impacts on leverage ratios and interest coverage metrics.
• Interest Costs: The fixed interest rates (4.850% and 5.450%) are relatively competitive in the current environment, but represent a long-term commitment to higher financing costs.
• Credit Profile: The guarantees from major subsidiaries may support credit ratings, but the increased debt could be scrutinized by rating agencies.
• Shareholder Value: Efficient deployment of proceeds (e.g., debt refinancing at lower rates, high-return projects) could enhance shareholder value. However, if the proceeds are not used judiciously, additional leverage could become a concern, potentially impacting share price.
• Market Reaction: Large debt offerings can sometimes pressure share prices if investors perceive a risk of over-leverage or dilution of future earnings. However, a well-received offering with strong demand may signal confidence in Enbridge’s creditworthiness and growth strategy.
• Regulatory Filings: All related documents, including the underwriting agreement and legal opinions, have been filed as exhibits to the Form 8-K and are available for public review.
• Restrictions: The underwriters have agreed not to offer the notes to residents of Canada, in order to comply with Alberta Securities Act exemptions.

Additional Information

Investors can access the full prospectus and related filings via the SEC’s EDGAR database. Copies can also be requested from the lead underwriters at their respective toll-free numbers.

Note: The notes are not available to retail investors in the European Economic Area or the United Kingdom due to regulatory restrictions (PRIIPs Regulation).

Conclusion

This substantial debt offering marks a significant financial event for Enbridge Inc. The proceeds are expected to provide the company with enhanced financial flexibility for its strategic initiatives. However, investors are encouraged to monitor how the additional leverage affects Enbridge’s balance sheet and future earnings potential, as well as any updates regarding the use of proceeds.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should review all official filings and consult their own advisors before making investment decisions. The information is based on the company’s public SEC filings and may be subject to change.

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