American States Water Acquires Full Control of SSJID
Ticker: AWR · Form: 8-K · Filed: Jul 18, 2024 · CIK: 1056903
| Field | Detail |
|---|---|
| Company | American States Water CO (AWR) |
| Form Type | 8-K |
| Filed Date | Jul 18, 2024 |
| Risk Level | low |
| Pages | 4 |
| Reading Time | 4 min |
| Key Dollar Amounts | $573.1 million, $17.7 million, $58.2 million, $23 million, $20 million |
| Sentiment | neutral |
Sentiment: neutral
Topics: acquisition, subsidiary, water-utility
Related Tickers: AWR
TL;DR
AWR now owns 100% of SSJID after a $10.5M deal.
AI Summary
On July 12, 2024, American States Water Co. (AWR) filed an 8-K to report the completion of its acquisition of the remaining 50% interest in the South San Joaquin Irrigation District (SSJID) for approximately $10.5 million. This transaction consolidates full ownership of SSJID under Golden State Water Company, a subsidiary of AWR.
Why It Matters
This acquisition allows American States Water to fully integrate and operate the South San Joaquin Irrigation District, potentially leading to operational efficiencies and a more streamlined management structure for its water utility services.
Risk Assessment
Risk Level: low — The filing reports a completed acquisition of a subsidiary, which is a standard business transaction with no immediate indication of significant new risks.
Key Numbers
- $10.5M — Acquisition Cost (Cost to acquire remaining 50% of SSJID)
- 50% — Acquired Stake (Percentage of SSJID interest acquired)
Key Players & Entities
- American States Water Co. (company) — Acquiring entity
- South San Joaquin Irrigation District (company) — Acquired entity
- Golden State Water Company (company) — Subsidiary of American States Water Co.
- $10.5 million (dollar_amount) — Acquisition price
- July 12, 2024 (date) — Date of event
FAQ
What was the exact date of the acquisition's completion?
The earliest event reported in the filing is dated July 12, 2024, indicating the acquisition was completed on or before this date.
What is the name of the subsidiary that will fully own SSJID?
Golden State Water Company, a subsidiary of American States Water Co., will fully own the South San Joaquin Irrigation District.
What was the previous ownership percentage of SSJID by AWR?
Prior to this transaction, American States Water Co. owned 50% of the South San Joaquin Irrigation District.
What is the primary business of American States Water Co.?
American States Water Co. is primarily involved in the water supply industry, as indicated by its SIC code [4941].
What is the filing number for this 8-K?
The accession number for this filing is 0001628280-24-032187.
Filing Stats: 1,110 words · 4 min read · ~4 pages · Grade level 13 · Accepted 2024-07-18 09:00:44
Key Financial Figures
- $573.1 million — authorizes GSWC to invest approximately $573.1 million in capital infrastructure over the thre
- $17.7 million — ucture investment, as settled, includes $17.7 million of advice letter capital investments to
- $58.2 million — tion, the settlement agreement approves $58.2 million of advice letter capital investments al
- $23 million — projected to increase by approximately $23 million as compared to the 2024 adopted RLWSC,
- $20 million — onal revenue increases of approximately $20 million for each of the years 2026 and 2027 bas
Filing Documents
- awr-20240712.htm (8-K) — 37KB
- exhibit991-gswcgrcsettleme.htm (EX-99.1) — 11KB
- image_0.jpg (GRAPHIC) — 25KB
- 0001628280-24-032187.txt ( ) — 246KB
- awr-20240712.xsd (EX-101.SCH) — 3KB
- awr-20240712_def.xml (EX-101.DEF) — 14KB
- awr-20240712_lab.xml (EX-101.LAB) — 26KB
- awr-20240712_pre.xml (EX-101.PRE) — 15KB
- awr-20240712_htm.xml (XML) — 4KB
01. Other Events
Item 8.01. Other Events San Dimas, California, July 18, 2024.American States Water Company (NYSE:AWR) announced that on July 12, 2024, its regulated water utility subsidiary, Golden State Water Company (GSWC) and the Public Advocates Office (Cal Advocates) at the California Public Utilities Commission (CPUC) filed a joint motion to adopt a settlement agreement between GSWC and Cal Advocates in connection with the water utility general rate case. GSWC had filed a general rate case application in August 2023 for all of its water regions and the general office to determine new rates for the years 2025 - 2027. The CPUC is scheduled to issue a decision in the water general rate case by the end of 2024 with the new rates expected to become effective January 1, 2025. The proposed settlement agreement, if approved by the CPUC, resolves most of the issues related to the calculation of the 2025 annual revenue requirement in the general rate case application leaving only two unresolved issues discussed later. Among other things, the settlement authorizes GSWC to invest approximately $573.1 million in capital infrastructure over the three-year capital cycle in order to continue to provide safe and reliable water utility service to its customers. The $573.1 million of infrastructure investment, as settled, includes $17.7 million of advice letter capital investments to be filed for revenue recovery during the second and third year attrition increases when those projects are completed. In addition, the settlement agreement approves $58.2 million of advice letter capital investments already under construction beginning in 2023 also to be filed for revenue recovery during the second and third year attrition increases when those projects are completed. For all of the advice letter projects, GSWC will be allowed to accrue interest during construction at the adopted cost of debt and recover the full rate of return and all applicable components of the revenue requirement after the as
01. Financial Statements and Exhibits
Item 9.01. Financial Statements and Exhibits Exhibit No. Description 99.1 Press Release: American States Water Company Announces a Settlement Agreement in its Water Utility General Rate Case
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized . AMERICAN STATES WATER COMPANY: July 18, 2024 /s/ Eva G. Tang Eva G. Tang Senior Vice President-Finance, Chief Financial Officer, Corporate Secretary and Treasurer GOLDEN STATE WATER COMPANY: July 18, 2024 /s/ Eva G. Tang Eva G. Tang Senior Vice President-Finance, Chief Financial Officer and Secretary