Enbridge Inc. ENB and Spectra Energy Partners SEP have inked a deal, per which the former will acquire all of the outstanding public common units. Enbridge already owns 83% of the master limited partnership (MLP).Terms of the DealPer the deal, Enbridge will pay 1.111 common shares for each of Spectra Energy Partners’ outstanding unit. On May 17, 2018, Enbridge had agreed to give out its 1.0123 common shares for every common unit of Spectra Energy Partners. The current agreed exchange ratio signifies a 9.8% increase from the previous one. Per the closing price of Enbridge's common shares on the New York Stock Exchange (NYSE) on Aug 23, 2018, the transaction is valued at $3.3 billion (CAN $4.3 billion).Based on the Agreed Exchange Ratio, Enbridge will issue an estimated 91.0 million common shares related to the transaction, equivalent to about 5% of the total number of its outstanding common shares.The transaction is anticipated to close in the fourth quarter of 2018.If the transaction is not closedbefore the record date of Spectra Energy Partners’ fourth-quarter 2018 distribution, Spectra Energy Partners is expected to pay a cash distribution to unitholders in the fourth quarter as disclosed in the earlier distribution guidance. Based on the closing date for the transaction during the fourth quarter, unitholders will either receive a Spectra Energy Partners cash distribution or an Enbridge cash dividend.Benefits to Enbridge’s ShareholdersThe transaction is in sync with Enbridge’s strategy to abridge and restructure corporate structure which further enhances the transparency of strong cash generating assets. The move is aimed to streamline operations amid the U.S. tax changes. Units of MLPs declined due to the regulators’ decision to prevent the partnerships from a key tax benefit. This also made it difficult to raise funds for growth projects. As a result, many MLP’s including Williams Partners L.P. WPZ and Energy Transfer Partners LP ETP are shifting from the MLP model — a structure often used to own pipelines transporting oil and natural gas.Enbridge's three-year financial guidance through 2020 will not be affected.However, post-2020 Enbridge’s outlook will be positively impacted by tax and other financial synergies.Enbridge’s consolidated EBITDA will not be impacted postthe merger as the assets held by Spectra Energy Partners are already managed and operated by Enbridge's U.S. subsidiaries and consolidated for accounting purposes by the company.Benefits to Spectra Energy Partners’ UnitholdersThe unitholders of Spectra Energy Partners will have direct ownership in one of the leading energy infrastructure company that is capable of generating consistent cash flows. Enbridge also supports a stronger balance sheet and expects 10% annual dividend growth through 2020 with improved dividend coverage.The transaction offers significant premium, considering Spectra Energy Partners’ limited future capacity for distribution growth. Also, for theunitholders, the value received eradicates uncertainty created by FERC policy announcements.Price PerformanceEnbridge has underperformed the industry in the past year. The company’s shares have lost 10.9% compared with the industry's 5.2% decline. Zacks RankEnbridge currently carries a Zacks Rank #3 (Hold).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Wall Street’s Next AmazonZacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.Click for details >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Spectra Energy Partners, LP (SEP): Free Stock Analysis Report Energy Transfer Partners, L.P. (ETP): Free Stock Analysis Report Enbridge Inc (ENB): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research