California American Water Completes Acquisition of West San Martin Water Works
California American Water, a subsidiary of American Water, has completed the $1.6 million acquisition of West San Martin Water Works, adding approximately 325 new water connections to its existing base of 40,000 connections in the Monterey Peninsula region. The acquisition, approved by the CPUC in January 2025, will commence service in February 2025.
The consolidation aims to provide rate stability and resources for capital improvements while leveraging California American Water's industry expertise. The transition will be seamless for customers, requiring no action from their end. A community workshop is scheduled for February 8, 2025, at the Wings of History Museum in San Martin to introduce company representatives to new customers.
California American Water, una sussidiaria di American Water, ha completato l'
La consolidazione mira a garantire la stabilità delle tariffe e risorse per miglioramenti capitali, sfruttando l'expertise di California American Water nel settore. La transizione sarà senza soluzione di continuità per i clienti, che non dovranno compiere alcuna azione. Un workshop comunitario è programmato per l'8 febbraio 2025, presso il Wings of History Museum a San Martin, per presentare i rappresentanti dell'azienda ai nuovi clienti.
California American Water, una subsidiaria de American Water, ha completado la adquisición de 1.6 millones de dólares de West San Martin Water Works, agregando aproximadamente 325 nuevas conexiones de agua a su base existente de 40,000 conexiones en la región de la Península de Monterey. La adquisición, aprobada por la CPUC en enero de 2025, comenzará a ofrecer servicio en febrero de 2025.
La consolidación tiene como objetivo proporcionar estabilidad tarifaria y recursos para mejoras de capital, aprovechando la experiencia de California American Water en la industria. La transición será fluida para los clientes, sin necesidad de acción de su parte. Se programó un taller comunitario para el 8 de febrero de 2025, en el Wings of History Museum en San Martin, para presentar a los representantes de la empresa a los nuevos clientes.
캘리포니아 아메리칸 워터는 아메리칸 워터의 자회사로, 160만 달러 규모의 매입을 통해 웨스트 샌 마틴 워터 워크스를 인수하였으며, 몬터레이 반도체 지역의 기존 40,000개 연결에 약 325개의 신규 수원 연결을 추가하였습니다. 이 인수는 2025년 1월 CPUC의 승인을 받았으며, 2025년 2월부터 서비스를 시작할 예정입니다.
이번 통합은 요금 안정성과 자본 개선을 위한 자원을 제공하며, 캘리포니아 아메리칸 워터의 산업 전문성을 활용하는 것을 목표로 하고 있습니다. 고객에게는 매끄러운 전환이 이루어지며, 고객 측에서 별도의 조치가 필요하지 않습니다. 2025년 2월 8일 샌 마틴의 윙스 오브 히스토리 박물관에서 새로운 고객들에게 회사 대표를 소개하는 커뮤니티 워크숍이 예정되어 있습니다.
California American Water, une filiale d'American Water, a finalisé l'
La consolidation vise à fournir une stabilité tarifaire et des ressources pour des améliorations majeures tout en tirant parti de l'expertise de California American Water dans l'industrie. La transition sera transparente pour les clients, ne nécessitant aucune action de leur part. Un atelier communautaire est prévu pour le 8 février 2025, au Wings of History Museum à San Martin, pour présenter les représentants de l'entreprise aux nouveaux clients.
California American Water, eine Tochtergesellschaft von American Water, hat die 1,6 Millionen Dollar schwere Akquisition von West San Martin Water Works abgeschlossen und damit etwa 325 neue Wasseranschlüsse zu ihrer bestehenden Basis von 40.000 Anschlüssen in der Region Monterey Peninsula hinzugefügt. Die Akquisition, die von der CPUC im Januar 2025 genehmigt wurde, wird im Februar 2025 mit dem Service beginnen.
Die Konsolidierung zielt darauf ab, Preisstabilität und Ressourcen für Investitionen zu gewährleisten sowie die Branchenerfahrung von California American Water zu nutzen. Der Übergang wird für die Kunden nahtlos verlaufen und erfordert keine Maßnahmen von ihrer Seite. Ein gemeinschaftlicher Workshop ist für den 8. Februar 2025 im Wings of History Museum in San Martin geplant, um Unternehmensvertreter den neuen Kunden vorzustellen.
- Strategic expansion adding 325 new water connections
- Acquisition cost of $1.6 million represents market growth
- Integration with larger system expected to improve rate stability
- Additional resources available for capital improvements
- None.
Insights
This
The CPUC's approval in January 2025 demonstrates the regulatory support for utility consolidation, which typically leads to improved rate stability and enhanced infrastructure investment capabilities. For AWK shareholders, such bolt-on acquisitions, while individually small, collectively contribute to steady growth and regulatory-approved returns. The water utility sector's consolidation trend continues to offer opportunities for larger operators to acquire smaller systems, particularly those requiring capital improvements.
Key benefits include:
- Enhanced operational efficiency through economies of scale
- Improved capital investment capabilities for infrastructure upgrades
- Strengthened regional market presence
- Rate stability benefits from larger customer base
While this acquisition alone may not significantly impact AWK's financial metrics, it exemplifies the company's successful execution of its growth-through-acquisition strategy in California, one of its key markets. The seamless integration process and community engagement approach suggest potential for similar future acquisitions in the region.
“We’re thrilled to begin serving
With the purchase of the
“For over 60 years West San Martin Water Works has been proud to serve our community with safe and reliable drinking water,” said Brian Ukestad, President, West San Martin Water Works. “For the last 40 years, our family has been honored to run the utility. Thank you for being wonderful customers and we are confident that California American Water will continue to provide safe and reliable water in the years ahead.”
The acquisition of
Customers are invited to meet California American Water representatives at a community workshop on Saturday, February 8 at 5 p.m. at the Wings of History Museum located at 12777 Murphy Avenue, Suite 201 in
About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in
For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.
About California American Water
California American Water, a subsidiary of American Water, provides high-quality and reliable water and wastewater services to approximately 700,000 people. For more information, visit www.californiaamwater.com and follow California American Water on LinkedIn, Facebook, X, and Instagram.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250205948006/en/
Media
Josh Stratton
Manager, External Affairs
Phone: 831-435-6015
Email: josh.stratton@amwater.com
Source: California American Water
FAQ
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