Skip to main content
The Globe and Mail
Support Quality Journalism.
The Globe and Mail
First Access to Latest
Investment News
Collection of curated
e-books and guides
Inform your decisions via
Globe Investor Tools
Just$1.99
per week
for first 24 weeks

Enjoy unlimited digital access
Enjoy Unlimited Digital Access
Get full access to globeandmail.com
Just $1.99 per week for the first 24 weeks
Just $1.99 per week for the first 24 weeks
var select={root:".js-sub-pencil",control:".js-sub-pencil-control",open:"o-sub-pencil--open",closed:"o-sub-pencil--closed"},dom={},allowExpand=!0;function pencilInit(o){var e=arguments.length>1&&void 0!==arguments[1]&&arguments[1];select.root=o,dom.root=document.querySelector(select.root),dom.root&&(dom.control=document.querySelector(select.control),dom.control.addEventListener("click",onToggleClicked),setPanelState(e),window.addEventListener("scroll",onWindowScroll),dom.root.removeAttribute("hidden"))}function isPanelOpen(){return dom.root.classList.contains(select.open)}function setPanelState(o){dom.root.classList[o?"add":"remove"](select.open),dom.root.classList[o?"remove":"add"](select.closed),dom.control.setAttribute("aria-expanded",o)}function onToggleClicked(){var l=!isPanelOpen();setPanelState(l)}function onWindowScroll(){window.requestAnimationFrame(function() {var l=isPanelOpen(),n=0===(document.body.scrollTop||document.documentElement.scrollTop);n||l||!allowExpand?n&&l&&(allowExpand=!0,setPanelState(!1)):(allowExpand=!1,setPanelState(!0))});}pencilInit(".js-sub-pencil",!1); // via darwin-bg var slideIndex = 0; carousel(); function carousel() { var i; var x = document.getElementsByClassName("subs_valueprop"); for (i = 0; i < x.length; i++) { x[i].style.display = "none"; } slideIndex++; if (slideIndex> x.length) { slideIndex = 1; } x[slideIndex - 1].style.display = "block"; setTimeout(carousel, 2500); } //

When it comes to doling out underwriting fees, the Enbridge family of companies takes a socialist approach.

Rather than designating one or two investment banks as its lead underwriters for every single financing, Enbridge spreads the wealth. In the past six months, companies under the Enbridge corporate banner have come to equity markets five times and the debt market once, and every single time the lead underwriters have been switched up.

The shuffling has a big effect on league tables. Since November Enbridge companies have raised a whopping $1.6-billion in new equity, plus $500-million in debt. If all that underwriting activity went to the same two banks, they'd be sitting pretty right now – the same way TD benefits whenever a Dundee family company comes to market.

Story continues below advertisement

For the latest $500-million common share issue, Enbridge tapped RBC Dominion Securities and Scotia Capital as its lead underwriters. A month ago the company raised $400-million by issuing preferred shares and spread the love across four different banks. Back in February, CIBC World Markets got to share the honours with RBC when Enbridge Income Fund Holdings raised just shy of $100-million.

The recent flurry of financings isn't anything new. Enbridge has raised eye-popping amounts of money over the past 18 months. By the end of November 2012, the company had already raised $2.5-billion during the year, and there's been more than a billion dollars raised since.

Much of this has been well telegraphed. On quarterly conference calls management has repeatedly said there is big capital spending ahead, and in November analyst Paul Lechem at CIBC World Markets noted that the company had another $10-billion of "highly probable" unsecured projects that it was looking to launch.

On Thursday Enbridge updated investors on its spending plans and noted that it will actually need to raise more money than it forecasted last fall. After the latest common share offering, the company still needs to finance another $1.9-billion through 2016.

(Tim Kiladze is a Globe and Mail Reporter.)

Return to Streetwise home page.

Your Globe

Build your personal news feed

  1. Follow topics and authors relevant to your reading interests.
  2. Check your Following feed daily, and never miss an article. Access your Following feed from your account menu at the top right corner of every page.

Follow the author of this article:

View more suggestions in Following Read more about following topics and authors
Report an error Editorial code of conduct
Tickers mentioned in this story
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

Comments that violate our community guidelines will be removed.

Read our community guidelines here

Discussion loading ...

To view this site properly, enable cookies in your browser. Read our privacy policy to learn more.
How to enable cookies