Global Water Resources Completes Acquisition of Two Water Utilities
Global Water Resources (NASDAQ: GWRS) has announced the acquisition of Twin Hawks Utility, Inc. and Rincon Water Company, expanding its portfolio of water utilities in Arizona. These acquisitions add approximately 93 water connections, with Twin Hawks located near an operational hub, facilitating integration. This marks the company's tenth and eleventh acquisitions since 2017, aligned with its strategy of consolidation in Arizona. The company aims to enhance compliance and sustainability in water services while continuing to explore additional synergistic utility acquisitions in the region.
- Acquisition of Twin Hawks and Rincon expands portfolio by 93 water connections.
- Twin Hawks is near an operational hub, allowing for easier integration.
- This marks the company's tenth and eleventh acquisitions since 2017, highlighting a strong growth strategy.
- Global Water aims to implement compliance and sustainability improvements in the acquired utilities.
- Rincon has encountered regulatory challenges requiring infrastructure evaluations.
PHOENIX, Jan. 24, 2022 (GLOBE NEWSWIRE) -- Global Water Resources, Inc. (NASDAQ: GWRS), (TSX: GWR), a pure-play water resource management company, has completed its previously announced acquisition of two small water utility companies, Twin Hawks Utility, Inc. and Rincon Water Company.
Twin Hawks is located in Pinal County and Rincon is in Pima County. The acquisitions add approximately 93 water connections.
“We welcome Twin Hawks and Rincon to our expanding portfolio of water utilities in Arizona,” stated Global Water Resources president and CEO, Ron Fleming. “For both facilities, we have begun to implement our industry-leading approach to utility consolidation and operations, which promotes compliance, safety, and better water usage for the benefit of all stakeholders.”
Twin Hawks is located near an existing Global Water operational hub, facilitating an easy integration into Global Water’s platform. Twin Hawks provides water service to an airpark in Pinal County. Over
Twin Hawks and Rincon represents the company’s tenth and eleventh acquisition since 2017. They reflect the company’s renewed focus on acquisitions, given the significant opportunities and the benefits of consolidation for Arizona. The Arizona Corporation Commission (ACC) website lists more than 300 investor-owned water and wastewater utilities operating in the state.
Rincon continues Global Water’s expansion in Pima County, the same county where Global Water acquired four water utilities in 2020 and another last year. Rincon has encountered regulatory challenges that require infrastructure evaluations and enhancements. Global Water brings technical expertise and state-of-the-art technology solutions that can help these facilities meet state regulatory requirements. The requirements help ensure that local communities have access to safe and environmentally sustainable water services.
“The close proximity of these facilities made them a logical extension to our service footprint, and we view them both as low-risk tuck-in acquisitions,” noted Chris Krygier, chief strategy officer for Global Water Resources. “We will continue to seek additional acquisitive opportunities that are synergistic to our growing portfolio of water utility companies, and especially those which would be beneficial to the communities we serve. We are currently in discussions with a number of utilities that fit this profile.”
About Global Water Resources
Global Water Resources, Inc. is a leading water resource management company that owns and operates 18 utilities which provide water, wastewater, and recycled water services. The company’s service areas are located primarily in growth corridors around metropolitan Phoenix. Global Water recycles nearly 1 billion gallons of water annually.
The company has been recognized for its highly effective implementation of Total Water Management (TWM). TWM is an integrated approach to managing the entire water cycle by owning and operating water, wastewater and recycled water utilities within the same geographic area in order to maximize the beneficial use of recycled water. TWM includes additional smart water management programs such as remote metering infrastructure and other advanced technologies, rate designs, and incentives that result in real conservation. TWM helps protect water supplies in water-scarce areas experiencing population growth. To learn more, visit www.gwresources.com.
Cautionary Note Regarding Forward-Looking Statements
This press release includes certain forward-looking statements which reflect the company's expectations regarding future events. The forward-looking statements involve a number of assumptions, risks, uncertainties, and other factors that could cause actual results to differ materially from those contained in the forward-looking statements. These forward-looking statements include, but are not limited to, statements concerning future net income growth, our strategy, acquisition plans, our dividend policy, the timing and likelihood of approval of the certificate of convenience and necessity for the Inland Port project and the anticipated benefits, trends relating to population growth, active service connections, regulated revenue, housing permit projections, the development of residential and commercial properties within our service areas, the anticipated impacts from the COVID-19 pandemic on the company, including to our business operations, results of operations, cash flows, and financial position, and our future responses to the COVID-19 pandemic, and other statements that are not historical facts as well as statements identified by words such as "expects", "anticipates", "intends", "plans", "believes", "seeks", "estimates", or the negative of these terms, or other words of similar meaning. These statements are based on our current beliefs or expectations and are inherently subject to a number of risks, uncertainties, and assumptions, most of which are difficult to predict and many of which are beyond our control. Actual results may differ materially from these expectations due to changes in political, economic, business, market, regulatory, and other factors, including the duration and severity of the COVID-19 pandemic and the actions to contain the virus or treat its impact. Accordingly, investors are cautioned not to place undue reliance on any forward-looking statements, which reflect management’s views as of the date hereof. Factors that may affect future results are disclosed under the headings “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our filings with the Securities and Exchange Commission (the "SEC"), which are available at the SEC's website at www.sec.gov. This includes, but is not limited to, our Annual Report on Form 10-K for the year ended December 31, 2020, our Quarterly Report on Form 10-Q for the quarter ended September 30, 2021, and subsequent filings with the SEC. We undertake no obligation to publicly update any forward-looking statement, except as required by law, whether as a result of new information, future developments or otherwise.
Company Contact:
Michael Liebman
CFO and SVP
Tel (480) 999-5104
mike.liebman@gwresources.com
Investor Relations Contact:
Ron Both or Justin Lumley
CMA
Tel (949) 432-7566
Email contact
Media Contact:
Tim Randall
CMA
Tel (949) 432-7572
Email Contact
FAQ
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