Summary of Representative Valuation-Related Assignments
The following project profiles reflect HCG’s experience in the areas of utility valuation.
1. Brooke Water Company (2016)
Prepared a calculation report for a water utility in Arizona.
2. Apple Valley Ranchos Water Company (2014-2017)
On behalf of the Town of Apple Valley, California, prepared a full valuation report (151 pages) regarding the fair market value of the water utility operating assets of Apple Valley Ranchos Water Company. The Company had book assets of approximately $101 million.
3. Mountain Water Company (2014-2015)
On behalf of the City of Missoula, Montana, prepared a full valuation report and provided litigation support regarding the fair market value of the water utility operating assets of Mountain Water Company. The Company had book assets of approximately $83 million.
4. Francisco Grande Water Company (2014-2015)
On behalf of a law firm, provided consultation services regarding the valuation of the Francisco Grande Water Company (Arizona).
5. City of Pflugerville, Texas (2012)
On behalf of the City of Pflugerville, Texas served as a consultant related to the possible condemnation of Monarch Water Utilities’ assets within the City’s jurisdiction.
6. Northern Waterworks, Inc. (2011)
Prepared a 60-page written valuation report for a water and wastewater company related to the potential acquisition of its assets by a government agency.
7. Basic Water Company (2007)
On behalf of a privately-owned and non-rate regulated water company, prepared a full valuation report (85 pages) which considered the asset, market, and income approaches. The study was prepared for the eventual sale of the Company.
8. Power Holding Company of Nigeria (2007)
As part of the Government of Nigeria’s process of privatizing state-owned companies, prepared an outline of a valuation report related to creating 11 separate distribution companies.
9. Moongate Water Company (2006)
Reviewed and critiqued a consultant’s valuation report prepared in the context of litigation involving the acquisition of a portion of Moongate Water Company’s service territory by the City of Las Cruces, New Mexico.
10. Consolidation of Small Water Utilities in California (2005)
On behalf of Golden State Water Company, prepared draft testimony involving valuation issues related to consolidating small water utilities in California, asset impairment (risk) issues, and water utility pricing.
11. Johnson Utilities Water and Wastewater (2003)
Developed a list of issues related to a land developer performing its “due diligence” for the acquisition; researched Arizona Corporation Commission’s decisions and orders affecting valuation of water and wastewater utilities; and researched comparable transactions.
12. Montenegro Electric Company (2002-2004)
Critiqued a valuation study of Montenegro Electric Company prepared by Deloitte & Touche, et al.
13. Valuation of a Generating Plant for Property Tax Purposes (2001)
Analyzed the value of an electric utility peak generating plant located in San Diego County, California. Using an income approach, HCG concluded that the plant was undervalued by approximately $1 billion.
14. Sale of Sierra Pacific Resources (Westpac Utilities) Water Assets (2000)
Prepared a 67 page valuation report using the cost, market, and income approaches of valuation. The assets were ultimately purchased by a government entity for $350 million. Developed and used proprietary software “FinMod” to estimate the value of the operating assets.
15. Egyptian Electricity Sector Privatization (2000)
As part of a Financial Management Project for the government of Egypt, critiqued a valuation model used by an investment banking firm.
16. Chattanooga-American Water Works, Inc. (Condemnation) (1999)
Reviewed and critiqued a valuation briefing prepared by a consulting firm for the City of Chattanooga, Tennessee.
17. Cottonwood Water Works, Inc. (1998)
Prepared a confidential valuation report in the context of a “buy-sell” agreement for an investor-owned water utility in Arizona.
18. USAID Privatization Project in the Czech Republic (1995)
Prepared a fully developed business plan including financial projections for a new district heating company in the Czech Republic. Designed software to project the new company’s cost of service over a 20-year period.
19. Assessment of Utility Assets by the City of Las Cruces, New Mexico (1994)
HCG was involved in a variety of regulatory, valuation, and ratemaking issues related to the bankruptcy of El Paso Electric Company. Part of the project involved assessing two reports that valued the possible acquisition, by condemnation, of the Company’s electric assets by the City of Las Cruces, New Mexico.
For more information contact:
Hayward Consulting Group
David L. Hayward, Principal
1047 Hygeia Ave, Leucadia, CA 92024
Phone (760) 637-7305
Email: DavidLHayward@cs.com