Enbridge Inc. to acquire Spectra Energy Partners for C$4.3B

Lead Office

Calgary

Value

4.30 Billion CAD

On August 24, 2018, Enbridge Inc. announced that it has agreed to acquire all of the outstanding shares of Spectra Energy Partners LP ("Spectra") for C$4.3 billion. Under the agreement, unitholders of Spectra will receive 1.111 common shares of Enbridge for each common unit of Spectra, a 9.8% increase from Enbridge’s previous offer in May. The transaction is expected to close in the fourth quarter of 2018.

The acquisition is part of Enbridge’s strategy to simplify its corporate structure following significant weakening of the master limited partnership (MLP) capital markets in the United States.

Enbridge is North America's premier energy infrastructure company with strategic business platforms that include an extensive network of crude oil, liquids and natural gas pipelines, regulated natural gas distribution utilities and renewable power generation.

Spectra is one of the largest MLPs in the United States. Based in Houston, Spectra owns interests in pipeline and storage facilities that connect growing supply areas to high-demand markets for natural gas and crude oil.

McCarthy Tétrault LLP is advising Enbridge with a team led by John Osler that includes Jeremy Busch-Howell, Michael Bennett, Elaine Sun and Michael Shahinian (business), and Robert Nearing and Jeremy Ho (tax).

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