CALGARY – Shareholders in Enbridge Income Fund Holdings Inc. have overwhelmingly approved a deal to acquire $1.23 billion in renewable energy assets from its majority owner, pipeline and utility giant Enbridge Inc.
At a special meeting Monday, 97 per cent of Enbridge Income Fund (TSX:ENF) shareholders voted in favour of the transaction, first proposed in May.
“With shareholder approval behind us, we expect that the transaction will close shortly and that the integration of these assets into our existing portfolio of businesses will be quick and relatively seamless,” income fund president John Whelen told the meeting, which was broadcast online.
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The assets being acquired consist of the 190-megawatt Enbridge Ontario Wind Project, the 99-megawatt Talbot Wind Project and the 80-megawatt Sarnia Solar Project, which is the largest operating photovoltaic solar facility in the world.
“With the acquisition of these assets, our renewable power generation capacity will grow from 91 megawatts to more than 400 megawatts, making it a significant player within the renewable energy sector in Canada,” said Whelen.
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Enbridge Income Fund Holdings shares lost 13 cents to $18.31 in Monday afternoon trading on the Toronto Stock Exchange.
Enbridge Income Fund Holdings is 72.3 per cent owned by Enbridge Inc. (TSX:ENB). It owns a half-interest in the Canadian portion of the Alliance natural gas pipeline, a Saskatchewan pipeline system and various renewable energy assets.
Enbridge Inc., with 6,400 employees, operates the world’s longest crude oil pipeline network and is Canada’s largest natural gas distribution company through Enbridge Gas Distribution Inc., which has nearly two million residential, commercial and industrial customers in Ontario, Quebec and upper New York State.
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