Share: 

Artesian agrees to buy Tidewater

Deal to be finalized by the end of the year
September 3, 2021

The two primary private wastewater utility providers in the Cape Region are about to merge.

Artesian Wastewater Management has agreed to purchase Tidewater Environmental Services from New Jersey-based Middlesex Water Company for $6.4 million in cash and other considerations. The transaction is subject to approval by Delaware’s Public Service Commission; Artesian officials say the deal should be closed by Friday, Dec. 31.

Under the deal’s terms, Artesian will purchase all of the stock of Tidewater, which serves 3,600 retail wastewater customers in Sussex County.

A press release from Artesian said, “Both companies have jointly concluded that this transaction is in the best long-term interest of the customers and the shareholders of their respective organizations.”

What this means for Tidewater customers is unknown at this time. It should be noted that Tidewater Environmental Services and Tidewater Utilities are separate entities. Tidewater Environmental Services is a subsidiary of Tidewater Utilities that serves Kent and Sussex counties.

Artesian spokeswoman Virginia Eisenbrey said, “As we approach closing and regulatory approval, Artesian continues to make plans for future wastewater management and will provide an update once available.”

Tidewater owns the Town of Milton’s wastewater system and had final site plans approved in April to build a new facility on Sam Lucas Road. Tidewater purchased Milton’s wastewater plant in 2007.

Milton Town Manager Kristy Rogers said while details are limited at this time, the town intends to keep citizens informed about how the deal will affect them. She said the agreement includes all the wastewater infrastructure Tidewater owns in Milton. 

“The town looks forward to working with Artesian and Middlesex Water Company on this transition, in addition to making continued progress in implementing agreements between the town and Tidewater,” Rogers said.

 

Subscribe to the CapeGazette.com Daily Newsletter