Enbridge Follows TransCanada With Sale of Long-Term Bonds

  • Company priced C$1 billion of hybrid debt due Sept. 2077
  • TransCanada sold C$1.5 billion of similar securities in May

Construction of the Enbridge Crude Oil Pipeline In Illinois

Photographer: Daniel Acker/Bloomberg
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Enbridge Inc. sold C$1 billion ($811 million) of 60-year bonds on Thursday, following in the footsteps of fellow Canadian pipeline giant TransCanada Corp.

The Calgary-based pipeline operator priced fixed-to-floating rate subordinated notes due 2077 that could be automatically converted into preference shares in case of bankruptcy. The notes, redeemable after September 2027, pay a coupon of 5.375 percent, according to people familiar with the matter, who are not authorized to speak publicly.