Artesian Water Company, Inc. Announces Acquisition of Town of Clayton Water System
Artesian Water Company, a subsidiary of Artesian Resources Corporation (NASDAQ: ARTNA), announced an acquisition of the Town of Clayton’s water system on February 16, 2022. This system serves approximately 1,500 customers through 23 miles of main and will integrate with Artesian’s existing regional system in northern Kent County, Delaware. The acquisition, expected to close in Q2 2022 post-approval, follows previous acquisitions in Delaware City and Frankford. This strategic move aims to enhance water service provision and cater to Clayton's growing residential and commercial projects.
- Strategic acquisition of Clayton’s water system enhances regional service and operational efficiency.
- Integration supports growth in residential and commercial projects in Clayton.
- Longstanding relationships with municipal providers bolster Artesian's service capabilities.
- None.
NEWARK, Del., Feb. 23, 2022 (GLOBE NEWSWIRE) -- Artesian Water Company, Inc., a subsidiary of Artesian Resources Corporation (NASDAQ: ARTNA), entered into an agreement on February 16, 2022 for the acquisition of the water system of the Town of Clayton, Delaware. Clayton’s water system serves approximately 1,500 customers through 23 miles of main, with three wells and two elevated water storage tanks. The system will be integrated with Artesian’s existing regional water system in northern Kent County, Delaware. Closing on the acquisition is expected to occur in the second quarter of 2022 after due diligence and Delaware Public Service Commission approval.
This agreement follows Artesian’s acquisitions in the past couple of years of the municipal water systems of Delaware City and Frankford. Artesian has worked with the Town of Clayton for the past 15 years assisting them with their water supply and fire protection. The acquisition allows Artesian’s regional system to grow with Clayton, which has multiple residential and commercial projects under construction. The Town’s proximity to Route 1, the major north/south thoroughfare through Delaware, and its excellent educational options are attracting many new residents.
“As the provision of water has become more costly and complicated, it was a natural fit that Artesian and Clayton become one system,” said Nicholle Taylor, President of Artesian Water Company. Upon closing on the acquisition, Artesian will provide Clayton a sustainable approach for the provision of safe drinking water to its citizens, including access to a 24/7 emergency dispatch center, excellent customer service, and expert local operational staff ready to respond quickly.
“It is Artesian’s long-standing relationships with other water utility providers and proven ability to deliver superior water service to customers that foster our efforts to build and expand integrated water systems throughout the state of Delaware,” said Dian C. Taylor, Chair and CEO. “We are proud that Clayton chose Artesian to provide water service to its citizens,” said Taylor.
About Artesian Resources
Artesian Resources Corporation operates as a holding company of wholly-owned subsidiaries offering water and wastewater services, and related services, on the Delmarva Peninsula. Artesian Water Company, the principal subsidiary, is the oldest and largest regulated water utility on the Delmarva Peninsula, and has been providing water service since 1905. Artesian supplies 8.3 billion gallons of water per year through 1,368 miles of water main to nearly a third of Delaware residents.
Contact:
Nicholle R. Taylor
Investor Relations
(302) 453-6900
ntaylor@artesianwater.com
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