Connecticut Water, ​SJW Group Formally File Merger Papers

VERNON, CT — Connecticut Water Service, Inc. and SJW Group announced Monday that applications for the approval of their "merger of equals" have been filed with the Connecticut Public Utilities Regulatory Authority and the Maine Public Utilities Commission.

The filings, submitted Friday, bring the transaction one step closer toward a "successful close," which is expected to take place during the fourth quarter of 2018, officials from both entities said.

“This is an important milestone in the regulatory approval process,” said David C. Benoit, president and CEO of CT Water. “We are eager to demonstrate to our regulators the clear benefits of the merger for our customers, employees and communities that can be realized through the sharing of best practices, operational expertise and resources of the combined company. Through the merger, we will have the unique benefit of being able to maintain our presence and locally-based teams of water professionals in Connecticut and Maine to deliver safe, reliable water service in our communities while being part of a larger, stronger national organization.”

In the filings, both companies indicated there will be no changes to customer rates nor any job cuts or employee layoffs as a result of the merger.

The combined company will be, "a leading, pure-play water company with the scale, management, financial strength and geographic diversity to excel operationally and financially," according to the filings.

The transaction remains subject to the customary closing conditions and approvals, including the approval of the issuance of shares by SJW Group stockholders, the approval of Connecticut Water shareholders, the approvals of the PURA and the MPUC and the approval of the Federal Communications Commission.

On April 30, SJW Group and Connecticut Water announced that the Federal Trade Commission has granted early termination of the Hart Scott Rodino waiting period for the companies’ merger of equals.

SJW Group is a publicly traded holding company headquartered in San Jose, CA. SJW Group is the parent company of San Jose Water, SJWTX, Inc. and SJW Land Company. Together, San Jose Water and SJWTX, Inc. provide water service to more than one million people in San Jose, California and nearby communities and in Canyon Lake, Texas and nearby communities. SJW Land Company owns and operates commercial real estate investments.

CT Water is a publicly traded holding company headquartered in Clinton. CTWS is the parent company of The Connecticut Water Company, The Maine Water Company, The Avon Water Company, and The Heritage Village Water Company. Together, these subsidiaries provide water service to more than 450,000 people in Connecticut and Maine, and wastewater service to more than 10,000 people in Connecticut.

CT Water has a major water source in Shenipsit Lake, located in parts of Vernon, Ellington and Tolland. CT Water recently finished major upgrades to its water plant in Vernon.

Photo Credit: Chris Dehnel