Global Water Resources Acquires Eagletail Water Company

Global Water Resources, Inc. 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 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.

“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,” Fleming added.

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