Aqua America’s Texas unit buys 2 systems

Aqua America Inc.'s Texas subsidiary has acquired two water companies in Hays County that together service about 400 people, the subsidiary said.

Aqua Texas Inc. purchased the assets of the Cardinal Valley Water Co., which it has operated since beginning its Texas operations in 2003, for $10 with the understanding that it take on future capital commitments.

Aqua Texas also bought the Mountain Crest Water Co. for $219,000.

Both systems are in an area surrounded by other water and wastewater systems owned by Aqua Texas.

"These tuck-in acquisitions allow us to further complete our footprint in the Wimberley area," said Nicholas DeBenedictis, chairman and chief executive of Bryn Mawr-based Aqua America.

In October, Aqua Texas purchased Saddle Club Water Company Inc., in Weatherford, Parker County, which serves about 500 residents, for about $420,000. "These three 2008 acquisitions in Texas - our fifth largest state operation - are a reaffirmation of our growth-through-acquisition strategy that allows Aqua to increase our economies of scale, and provide our technical and engineering expertise to smaller water systems."

Aqua America systems serve about three million people in 13 states, including Pennsylvania and New Jersey.

The company was poised to end the trading day at $20.58, up 58 cents (2.90 percent) on the New York stock Exchange.