DBRS Morningstar Assigns Rating of “A” With a Stable Trend to Énergir, L.P. and Its $325 Million First Mortgage Bonds

DBRS Limited (DBRS Morningstar) assigned an Issuer Rating of “A” with a Stable trend to Énergir, L.P. (the Partnership). DBRS Morningstar also assigned a rating of “A” with a Stable trend to the Partnership’s $325 million Series 2022-1 First Mortgage Bonds (FMBs) due February 9, 2032.

The FMBs are direct obligations of the Partnership, and rank pari passu and are secured equally and rateably with all other series of FMBs issued and outstanding from the Partnership. The FMBs are secured by a hypothec of first rank on the universality of the movable (personal) and immovable (real) property, present and future, of the Partnership in the Province of Québec, including the Partnership’s network of gas distribution and gas pipelines. Proceeds from the FMBs will be used to repay existing indebtedness and for general corporate purposes.

A description of how DBRS Morningstar considers ESG factors within the DBRS Morningstar analytical framework can be found in the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings at https://www.dbrsmorningstar.com/research/373262.

Notes:
All figures are in Canadian dollars unless otherwise noted.

The principal methodologies are Rating Companies in the Regulated Electric, Natural Gas, and Water Utilities Industry (September 24, 2021; https://www.dbrsmorningstar.com/research/384922) and DBRS Morningstar Criteria: Guarantees and Other Forms of Support (May 31, 2021; https://www.dbrsmorningstar.com/research/379424), which can be found on dbrsmorningstar.com under Methodologies & Criteria. Other applicable methodologies include the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings (February 3, 2021; https://www.dbrsmorningstar.com/research/373262).

The related regulatory disclosures pursuant to the National Instrument 25-101 Designated Rating Organizations are hereby incorporated by reference and can be found by clicking on the link under Related Documents or by contacting us at [email protected].

The rated entity or its related entities did participate in the rating process for this rating action. DBRS Morningstar had access to the accounts and other relevant internal documents of the rated entity or its related entities in connection with this rating action.

Generally, the conditions that lead to the assignment of a Negative or Positive trend are resolved within a 12-month period. DBRS Morningstar trends and ratings are under regular surveillance.

For more information on this credit or on this industry, visit www.dbrsmorningstar.com or contact us at [email protected].

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