Deals
Enbridge Sticks With Asset-Sale Plan as Leverage Weighs on Bonds
- CEO denies report that company is accelerating divestitures
- Pipeline giant’s bonds have underperformed rivals’ offerings
Photographer: Daniel Acker/Bloomberg
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Enbridge Inc. said it’s sticking with an asset-sale program it outlined last year, denying a report that it had accelerated the plan and downplaying concern that the pipeline operator is carrying too much debt.
The comments came after Reuters reported on Thursday that Enbridge had increased its target for asset divestitures this year to C$8 billion ($6.4 billion), more than twice the C$3 billion goal it announced in November. Enbridge Chief Executive Officer Al Monaco said on the company’s fourth-quarter earnings conference call Friday that investors should “use that information with caution” and “treat it as suspect.”