New Mexico Water Service Company, a wholly-owned subsidiary of California Water Service Group, has signed an agreement to purchase the National Utilities Corporation for slightly more than rate base.
National Utilities Corporation serves 700 water customers located adjacent to the Rio Grande water system, which New Mexico Water Service Company expects to acquire on July 1, 2002, and 900 water customers located 150 miles south of Albuquerque, New Mexico. The purchase will entitle New Mexico Water Service Company to purchase up to 2,000 acre-feet of water annually as required.
"We are looking forward to completing this acquisition and continuing our growth in New Mexico," said Robert J. Davey, head of New Mexico Water Service Company.
The purchase is subject to the approval of the New Mexico Public Regulation Commission. Regulatory approval is expected in the first quarter of 2003.
California Water Service Group is the parent company of California Water Service Company, Washington Water Service Company, New Mexico Water Service Company and CWS Utility Services. Together these companies provide regulated and non-regulated water service to over 2 million people in 96 California, Washington and New Mexico communities.