New Mexico Water Utility Receives Public Regulatory Commission Approval to Acquire Hi Mesa Water System
SAN JOSE, Calif., Feb. 3 10, 2022 (GLOBE NEWSWIRE) — New Mexico Water Service (New Mexico Water) subsidiary of California Water Service Group (Group) (NYSE: CWT) yesterday received approval from the New Mexico Public Regulatory Commission to acquire the assets of Valencia Mesa, LLC, also known as Hi Mesa Water System, and provide regulated water service to its customers in the unincorporated county of Valencia.
Hi Mesa Water System serves approximately 85 customer connections and is located in Los Lunas, NM, less than one mile from New Mexico Water’s Meadow Lake service area. The transaction, which is expected to close by the end of 2021, is subject to the fulfillment of the terms of the purchase agreement.
“We appreciate the diligence of the New Mexico Public Regulatory Commission in reviewing this transaction and look forward to working with Valencia Mesa to complete the acquisition,” said the group’s president and chief executive officer, Martin A. Kropelnicki. “We also look forward to serving Hi Mesa Water System customers and providing the same quality, service and value that we are committed to providing to all of our customers in New Mexico.”
About the New Mexico Water Service and the California Water Service Group
The New Mexico Water Utility currently serves approximately 16,000 people through 8,500 water and wastewater service connections in its communities of Rio, Rio Del Oro, Meadow Lake, Indian Hills, Squaw Valley, Elephant Butte, Sandia Knolls, Juan Tomas and Cypress Gardens in New Mexico. . California Water Service Group is the parent company of the regulated utilities California Water Service, Hawaii Water Service, New Mexico Water Service, Washington Water Service and Texas Water Service, a utility holding company. Together, these companies provide regulated and unregulated water services to more than 2 million people in California, Hawaii, New Mexico, Texas and Washington. Common stock of California Water Service Group trades on the New York Stock Exchange under the symbol “CWT”. Additional information is available online at www.calwatergroup.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (“Act”). Forward-looking statements are intended to qualify under the provisions of the federal securities laws for the “safe harbor” treatment established by law. Forward-looking statements are based on currently available information, expectations, estimates, assumptions and projections, as well as management’s judgment regarding the company, the water utility industry and general economic conditions. Words such as would, expect, intend, plan, believe, estimate, assume, anticipate, project, predict, forecast or variations of such words or similar expressions are intended to identify forward-looking statements. Forward-looking statements are not guarantees of future performance. They are subject to uncertainty and changing circumstances. Actual results may differ materially from what is contained in any forward-looking statement. Factors that could cause results to differ from those expected or anticipated include, but are not limited to: the ability to complete the acquisition and operate the assets of Valencia Mesa, LLC on an accretive basis; decisions of governmental and regulatory commissions, including decisions on the proper disposal of property; natural disasters or calamities, public health crises, pandemics, epidemics or outbreaks of a contagious disease, such as the coronavirus (or COVID-19) outbreak, or any escalation or aggravation of any of the foregoing, including any economic effects of the above; consequences of eminent domain actions relating to our water systems; changes in regulatory commission policies and procedures; the timeliness of regulatory commission actions regarding tariff relief and other actions; changes in water quality standards; changes in environmental compliance and water quality requirements; power outages; housing and customer growth trends; the impact of opposition to rate increases; our ability to recover costs; availability of water supply; problems relating to the implementation, maintenance or security of our IT systems; civil unrest or terrorist threats or acts; the adequacy of our efforts to mitigate physical and cyber security risks and threats; the ability of our enterprise risk management processes to identify or adequately address risks; labor relations issues as we negotiate with unions; changes in customer water use patterns and conservation effects; the impact of weather, climate, natural disasters and disease on water quality, water availability, water sales and operating results, and the adequacy of our preparedness emergency situations; and, other risks and unforeseen events. When reviewing forward-looking statements, you should be mindful of the cautionary statements included in this paragraph, as well as the annual 10-Ks, quarterly 10-Qs and other reports filed from time to time with the Securities and Exchange Commission. (SECOND). The Company undertakes no obligation to provide public updates of forward-looking statements.