PHOENIX, May 24, 2017 (GLOBE NEWSWIRE) -- Global Water Resources, Inc. (NASDAQ:GWRS), (TSX:GWR), a pure-play water resource management company, has acquired Eagletail Water Company, a small water utility located west of metropolitan Phoenix.
The transaction adds approximately 50 active water connections and six square miles of approved service area to Global Water’s existing regional service footprint. The acquired service area is adjacent to one of Global Water’s existing utilities, the Water Utility of Greater Tonopah.
“Eagletail is the first acquisition in our declared strategy of pursuing water utility acquisitions,” said Ron Fleming, CEO of Global Water. “We believe our focus on improving and automating water utility assets will greatly benefit the customers of Eagletail. Also, as the Eagletail water service area has no wastewater provider we see an opportunity to apply Global Water’s regional, integrated service provider model to any future development, which we continue to believe is the best solution for all stakeholders in the region.”
The Arizona Corporation Commission (ACC) allowed the transaction to close on an expedited basis in accordance with a recently adopted water policy reform package intended to lessen regulatory impediments for such transactions, in addition to other reforms. Eagletail recently completed a rate case, setting new rates for the utility effective December 5, 2016.
Added Fleming: “Given the ACC's desire for consolidation of the highly-fragmented water utility industry in Arizona and their new policy guidelines that support and incent such consolidation, the stage is well set for additional acquisitions.”
About Global Water Resources
Global Water Resources, Inc. is a leading water resource management company that owns and operates ten utility companies 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. To learn more, visit www.gwresources.com.
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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, our dividend policy, trends relating to population growth, active connections, regulated revenue, housing permit projections, 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. 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, 2016 which was filed 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.