CALGARY,
AB, Sept. 29, 2022 /CNW/ - Enbridge Inc.
("Enbridge" or "the Company") (TSX: ENB) (NYSE: ENB) today
announced it has acquired Tri Global Energy ("TGE"), a leading US
renewable project developer, for US$270
million in cash and assumed debt. Additionally, up to
approximately US$50 million in
payments could be made contingent on successful execution of TGE's
project portfolio. TGE is currently the third largest onshore wind
developer in the US, with a development portfolio of wind and solar
projects representing more than 7 GW of renewable generation
capacity.
"TGE will enhance Enbridge's renewable platform and accelerate
our North American growth strategy," said Al Monaco, Enbridge's President and Chief
Executive Officer. "TGE's significant development pipeline, coupled
with our renewable capabilities, and existing self-power
opportunities, make this a truly synergistic investment that
further positions us to grow organically at attractive equity
returns. We're excited to be welcoming the TGE team to Enbridge,
further strengthening our capabilities as we ramp up our renewable
business."
Enbridge expects North American renewable power fundamentals to
remain robust. Rising targets for State renewable portfolio
standards and growing private sector demand for zero carbon
electricity are set to drive investment in wind and solar power
generation significantly higher in the next decade.
TGE's large development portfolio is well-positioned to
capitalize on this growth, including 3.9 GW of renewable generation
projects TGE previously sold to operators, which will generate
development fees and accretion to distributable cashflow per share
in the first year following the acquisition of TGE. In addition, 3
GW of late-stage development of wholly owned projects are expected
to be placed into service between 2024 and 2028, providing a
visible ramp up in cash flows along with a large slate of further
projects in earlier stage development beyond that period.
The TGE team has successfully developed and monetized over 6 GW
of utility scale renewable projects since its inception in 2009.
TGE's development team will remain in place following closing of
the transaction, ensuring continuity of ongoing development
activities.
CIBC acted as financial advisor to Enbridge and Eversheds
Sutherland acted as its external legal counsel.
About Enbridge
At Enbridge, we safely connect millions of people to the energy
they rely on every day, fueling quality of life through our North
American natural gas, oil or renewable power networks and our
growing European offshore wind portfolio. We're investing in modern
energy delivery infrastructure to sustain access to secure,
affordable energy and building on two decades of experience in
renewable energy to advance new technologies including wind and
solar power, hydrogen, renewable natural gas and carbon capture and
storage. We're committed to reducing the carbon footprint of the
energy we deliver, and to achieving net zero greenhouse gas
emissions by 2050.
Headquartered in Calgary,
Alberta, Enbridge's common shares trade under the symbol ENB
on the Toronto (TSX) and
New York (NYSE) stock exchanges.
To learn more, visit us at Enbridge.com
About Tri Global Energy
Founded in 2009, Tri Global Energy is a leading renewable energy
developer drawing on the natural, renewable resources of the wind
and the sun to successfully address the growing demand for clean
and sustainable energy. Tri Global Energy is among America's top
utility-scale renewable energy developers. In fact, for more than a
decade, the company has been the largest developer of wind energy
projects currently under construction in Texas, the nation's leader in wind capacity.
For further information on TGE please visit
www.triglobalenergy.com.
Forward-Looking
Information
Forward-looking information, or forward-looking statements,
have been included in this news release to provide information
about Enbridge and its subsidiaries and affiliates, including
management's assessment of Enbridge and its subsidiaries' and
affiliates' future plans and operations. 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 acquisition of TGE (the "Transaction") and related
matters, including expected accretion, equity returns and EBITDA
growth, organic growth and development opportunities and other
benefits of the Transaction to Enbridge and TGE; sale of existing
partnered projects; management continuity; and Enbridge's
self-power and growth strategy.
Although Enbridge believes 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: energy transition,
including the drivers and pace thereof; the COVID-19 pandemic and
the duration and impact thereof; global economic growth and trade;
the expected supply of and demand for crude oil, natural gas,
natural gas liquids ("NGL"), liquified natural gas ("LNG") and
renewable energy; prices of crude oil, natural gas, NGL, LNG and
renewable energy; anticipated utilization of our assets;
anticipated cost savings; exchange rates; inflation; interest
rates; availability and price of labour and construction materials;
the stability of our supply chain; operational reliability and
performance; customer, regulatory and stakeholder support and
approvals; anticipated construction and in-service dates; weather;
announced and potential acquisition, disposition and other
corporate transactions and projects and the timing and impact
thereof, including the Transaction; expectations about our
partners' ability to complete and finance proposed transactions and
projects; governmental legislation; litigation; credit ratings;
hedging program; expected EBITDA and expected adjusted EBITDA;
expected earnings/(loss) and adjusted earnings/(loss); expected
earnings/(loss) or adjusted earnings/(loss) per share; expected
future cash flows and expected future distributable cash flow
("DCF") and DCF per share; estimated future dividends; financial
strength and flexibility; debt and equity market conditions; and
general economic and competitive conditions. Assumptions regarding
the expected supply of and demand for crude oil, natural gas, NGL,
LNG and renewable energy and the prices of these commodities are
material to and underlie all forward-looking statements, as they
may impact current and future levels of demand for the Company's
services. Similarly, exchange rates, inflation, interest rates and
the COVID-19 pandemic impact the economies and business
environments in which the Company operates and may impact levels of
demand for the Company's services and cost of inputs and are,
therefore, inherent in all forward-looking statements. Due to the
interdependencies and correlation of these macroeconomic factors,
the impact of any one assumption on a forward-looking statement
cannot be determined with certainty, particularly with respect to
expected DCF and DCF per share amounts.
Enbridge's forward-looking statements are subject to risks
and uncertainties pertaining to the realization of anticipated
benefits and synergies of projects and transactions, including the
Transaction, successful execution of our strategic priorities,
operating performance, the Company's dividend policy, regulatory
parameters, changes in regulations applicable to the Company's
business, litigation, acquisitions and dispositions and other
transactions, project approval and support, renewals of
rights-of-way, weather, economic and competitive conditions, public
opinion, changes in tax laws and tax rates, changes in trade
agreements, political decisions, exchange rates, interest rates,
commodity prices, supply of and demand for commodities and the
COVID-19 pandemic, including but not limited to those risks and
uncertainties discussed in this and in the Company's other filings
with Canadian and U.S. 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 Enbridge'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,
Enbridge assumes 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 forward-looking statements, whether written or oral,
attributable to Enbridge or persons acting on the Company's behalf,
are expressly qualified in their entirety by these cautionary
statements.
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SOURCE Enbridge Inc.