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Enbridge To Buy-in Sponsored Vehicles In Exchange For Common Shares

Enbridge Inc. (ENB,ENB.TO) announced it has made separate all-share proposals to the respective boards of directors of its sponsored vehicles, Spectra Energy Partners, LP (SEP), Enbridge Energy Partners, L.P. (EEP), Enbridge Energy Management, L.L.C (EEQ) and Enbridge Income Fund Holdings Inc. (ENF.TO), to acquire, in separate combination transactions, all of the outstanding equity securities of those sponsored vehicles.

The proposed exchange ratios reflect a value for all of the publicly held equity securities of the sponsored vehicles of C$11.4 billion, or 272 million Enbridge common shares.

Enbridge expects these transactions as proposed to be approximately neutral to three-year financial guidance and positive to post-2020 outlook due to tax and other synergies.

Under today's restructuring proposal, SEP unitholders will receive 1.0123 common shares of Enbridge per SEP unit, EEP unitholders will receive 0.3083 common shares of Enbridge per EEP unit, while EEQ shareholders will receive 0.2887 common shares of Enbridge per EEQ share. ENF shareholders will receive 0.7029 common shares of Enbridge per ENF share.

Post-closing all sponsored vehicle equity securityholders would hold the same publicly traded equity security in a streamlined corporate vehicle.

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