Enbridge Inc. may sell 60-year bonds potentially as early as this week, following in the footsteps of fellow Canadian pipeline giant TransCanada Corp.

The pipeline operator will finish calls with investors on Thursday about a potential sale, according to people familiar with the matter, who are not authorized to speak publicly and asked not to be identified. Sale will be led by BMO Capital Markets, RBC Capital Markets and TD Securities, the people said.

Enbridge seeks to offer fixed-to-floating rate subordinated notes due September 2077 that could be automatically converted into preference shares in case of bankruptcy, according to a prospectus it filed yesterday. The company will be able to redeem the securities after September 2027. Proceeds from the sale will be used to fund capital projects, reduce short-term debt, and other corporate purposes.

The securities would have the same maturity and call structure as the $1.5 billion of 4.65 per cent bonds sold by a unit of TransCanada in May. Before that sale, the market for Canadian dollar corporate bonds hasn’t seen an offering of that long a tenor since Enbridge sold C$100 million of 100-year bonds in 2012.

RBC and TD declined to comment. BMO and Enbridge didn’t reply to requests for comment.

Bloomberg.com