Missoula Shares Utility Acquisition Experience with Superior Officials
What happened
Missoula's deputy director of utilities shared the city's experience taking over a private water utility from Carlyle Group with Superior’s Public Works Committee on October 1. The acquisition, which followed a 2014 lawsuit to condemn the utility, had a total cost of $106.6 million, including over $12 million in legal expenses. The utility was valued at $77.86 million, with an additional $3.2 million added for improvements and other expenses.
From superiortelegram.com
Why it matters
The discussion is related to Superior’s potential acquisition of a water utility. Mayor Jim Paine noted that those opposed to the acquisition encouraged studying Missoula’s case to highlight potential risks, such as higher-than-anticipated acquisition and legal costs. The takeover in Missoula was reported to have numerous benefits for residents.
From superiortelegram.com
Who's involved
- Carlyle GroupPrivate equity firm from which Missoula acquired a water utility.
- SuperiorTown whose Public Works Committee is studying Missoula's acquisition experience.
- MissoulaCity that successfully acquired a private water utility from Carlyle Group.
- Jim PaineMayor of Superior, who was encouraged to study Missoula's example.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- SuperiorSpeculative
Superior might face higher acquisition and legal costs if it pursues a similar municipal takeover.
- city councilSpeculative
The city council may use the comparative data on acquisition costs and benefits to guide its takeover decision.
Keep exploring
The entities involved
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Carlyle Group
American alternative asset management company
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Superior
town in Pinal County, Arizona, United States
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Missoula
county seat of Missoula County, Montana, United States