ENB.PR.T : No Conversion to FloatingReset

Enbridge Inc. has announced (on May 17):

that none of Enbridge’s outstanding Cumulative Redeemable Preference Shares, Series R (Series R Shares) will be converted into Cumulative Redeemable Preference Shares, Series S of Enbridge (Series S Shares) on June 1, 2019.

After taking into account all conversion notices received from holders of its outstanding Series R Shares by the May 17, 2019 deadline for the conversion of the Series R Shares into Series S Shares, less than the 1,000,000 Series R Shares required to give effect to conversions into Series S Shares were tendered for conversion.

ENB.PR.T is a FixedReset, 4.00%+250, that commenced trading 2012-12-5 after being announced 2012-11-26. It will reset At 4.073% effective June 1, 2019. I recommended against conversion. It is tracked by HIMIPref™ but relegated to the Scraps – FixedReset (Discount) subindex on credit concerns.

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