Enbridge Income Fund Holdings Inc. Announces Agreement to Sell 49% of its Interests in Renewable Power Assets for $1,050M

CALGARY, May 9, 2018 /CNW/ - Enbridge Income Fund Holdings Inc. (TSX:ENF) ("ENF") announced today that affiliates of Enbridge Income Fund (the "Fund") have entered into agreements with the Canadian Pension Plan Investment Board (CPPIB) whereby the Fund will monetize a 49 percent interest in select renewable and power generation assets (the "Assets") for approximately CAD$1.05 billion in cash. This transaction is part of a broader arrangement through which CPPIB will also acquire 49 percent interests in select renewable power generation assets and development projects in the United States and Europe owned by Enbridge Inc.  

Post the transaction, the Fund will maintain a 51 percent interest in the Canadian renewable power assets and Enbridge and its affiliates will continue to manage, operate and provide administrative services for the Assets. 

The transaction is subject to closing adjustments and conditions customary in transactions of this nature. Closing is expected to occur during the third quarter of 2018 subject to the receipt of all necessary regulatory approvals and consents. The Fund anticipates a minimal amount of cash taxes arising from the sale of these renewable assets.

"We're very pleased with this agreement, which provides us with the opportunity to partner with CPPIB and enables the Fund to monetize an interest in its renewable assets at an accretive value to ENF while enhancing financial strength and flexibility," said ENF President Perry Schuldhaus. 

Upon closing, the Fund will utilize the proceeds to redeem Trust Units and pay back debt, as determined closer to closing, in order to provide further assurance that targeted credit metrics are achieved by the end of 2018. There are no plans to use any proceeds to redeem publicly held shares of ENF at this time.

The Assets included in the agreement are renewable and power generation assets, and include:

	Facility	Fund's Interest	Net Generating Capacity (MW)	Location
WIND	Lac Alfred	67.5%	208	QC
	Massif du Sud	80%	123	QC
	Saint Robert Bellarmin	50%	41	QC
	Ontario Wind	100%	190	ON
	Talbot	100%	99	ON
	Greenwich	100%	99	ON
	SunBridge	50%	6	SK
	Blackspring Ridge	50%	151	AB
	Magrath	33%	10	AB
	Chin Chute	33%	10	AB
SOLAR	Sarnia	100%	80	ON
	Amherstburg	100%	15	ON
	Tilbury	100%	5	ON
	Total		1,037 MW

Forward-Looking Information

Forward-looking information, or forward-looking statements, have been included in this news release to provide information about the Company and its investee, the Fund, and the Fund's direct and indirect investments and joint ventures (collectively, the "Fund Group"), including management's assessment of the future plans and operations of the Company and the Fund Group. This information may not be appropriate for other purposes. Forward-looking statements are typically identified by words such as ''anticipate'', ''expect'', ''project'', ''estimate'', ''forecast'', ''plan'', ''intend'', ''target'', ''believe'', "likely" and similar words suggesting future outcomes or statements regarding an outlook. Forward-looking information or statements included or incorporated by reference in this document include, but are not limited to, statements with respect to the following: the transactions described in this news release (the "Transaction"); the closing of the Transaction and the timing thereof; taxes arising from the Transaction; use of proceeds; accretion resulting from the Transaction; financial strength and flexibility; and expectations regarding the impact of the Transaction.

Although the Company and the Fund Group believe these forward-looking statements are reasonable based on the information available on the date such statements are made and processes used to prepare the information, such statements are not guarantees of future performance and readers are cautioned against placing undue reliance on forward-looking statements. By their nature, these statements involve a variety of assumptions, known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such statements. Material assumptions include assumptions about the following: the timing and completion of the Transaction, including receipt of regulatory approvals and the satisfaction of other conditions precedent; accretion and the realization of anticipated benefits of the Transaction; use of proceeds; and financial strength and flexibility. The Company's forward-looking statements are subject to risks and uncertainties pertaining to the Transaction and the impact thereof, regulatory parameters, economic and competitive conditions, changes in tax laws and tax rates, interest rates, and supply of and demand for renewable energy, including but not limited to those risks and uncertainties discussed in this news release and in the Company's and the Fund Group's other filings with Canadian securities regulators. The impact of any one risk, uncertainty or factor on a particular forward-looking statement is not determinable with certainty as these are interdependent and the Company's and the Fund Group's future course of action depends on management's assessment of all information available at the relevant time. Except to the extent required by applicable law, the Company and the Fund Group assume no obligation to publicly update or revise any forward-looking statements made in this news release or otherwise, whether as a result of new information, future events or otherwise. All subsequent forward-looking statements, whether written or oral, attributable to the Company or the Fund Group or persons acting on the Company's or the Fund Group's behalf, are expressly qualified in their entirety by these cautionary statements.

None of the information contained in, or connected to, the Company's website is incorporated in or otherwise forms part of this news release.

ABOUT ENBRIDGE INCOME FUND HOLDINGS INC.

Enbridge Income Fund Holdings Inc. ("ENF" or the "Company"), through its investment in the Fund, indirectly holds high quality, low-risk energy infrastructure assets. The Fund's assets consist of a portfolio of Canadian liquids transportation and storage businesses, including the Canadian Mainline, the Regional Oil Sands System, the Canadian segment of the Southern Lights Pipeline, Class A units entitling the holder to receive defined cash flows from the United States segment of the Southern Lights Pipeline, a 50 percent interest in the Alliance Pipeline, which transports natural gas from Canada to the United States, and interests in more than 1,400 megawatts of renewable and alternative power generation assets. Enbridge Income Fund Holdings Inc. is a publicly traded corporation on the Toronto stock exchange under the symbol ENF; information about the Company is available on the Company's website at www.enbridgeincomefund.com.

FOR FURTHER INFORMATION PLEASE CONTACT:

Media                                                              
Suzanne Wilton
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Email: [email protected]  

Investment Community
Nafeesa Kassam
[phone] or Toll Free: [phone]
Email: [email protected]

SOURCE Enbridge Income Fund Holdings Inc.