Enbride Income fund completes acquisition of pipeline interests

Enbridge Income Fund Holdings Inc. and Enbridge Income Fund announced the closing of the acquisition of the 50% interest in the US segment of the Alliance Pipeline and the purchase of Class A Units which provide a defined cash flow stream from the Southern Lights Pipeline (collectively, the Assets) by indirect wholly-owned subsidiaries of the Fund for US$ 1.76 billion from indirect wholly-owned subsidiaries of Enbridge Inc., which was announced in the Company's news release dated 22^nd September, 2014.

The Board of Directors of the company declared a dividend payable on 15^th December, 2014 to shareholders of record on 1^st December, 2014 in the sum of US$ 0.1285 per common share of the Company (Common Share), representing a 12.1% increase to US$ 1.542 per Common Share on an annualised basis. The dividend is designated an eligible dividend for Canadian tax purposes, which qualifies for the enhanced dividend tax credit.

"We are very pleased to close this transaction and add these desirable assets to our portfolio," said Perry Schuldhaus, the president of the company. "These assets are supported by strong fundamentals and commercial terms, and are ideally suited for our low-risk business model. They bolster and diversify the Fund's future cash flow and generate healthy accretion which supports an immediate 12.1% increase in the dividend. With 11 dividend increases in our 12 year history, the company and the Fund have delivered solid performance, paying our investors growing dividends and providing an attractive return on investment."

Adapted from press release by Hannah Priestley-Eaton

Read the article online at: https://www.worldpipelines.com/business-news/10112014/enbride-income-fund-completes-acquisition-of-pipeline-interests/