California Water Service Group (NYSE: CWT) announced on October 14, 2026, that it has entered into a Note Purchase Agreement to issue a total of $125 million in senior unsecured debt. The offering consists of two tranches: $75 million of 6.08% Senior Unsecured Notes, Series C, due December 15, 2031, and $50 million of 6.41% Senior Unsecured Notes, Series D, due December 15, 2036. The Group expects these Notes to be issued on or before December 31, 2026.
Separately, the Group’s wholly owned subsidiary, California Water Service Company (Cal Water), entered into a Bond Purchase Agreement to issue $150 million in First Mortgage Bonds. This offering includes $50 million of 6.49% First Mortgage Bonds, Series 4, due December 15, 2046, and $100 million of 6.54% First Mortgage Bonds, Series 5, due December 15, 2056. These Bonds are expected to be issued pursuant to a Sixty-Sixth Supplemental Indenture.
Interest on both the Notes and the Bonds will accrue semi-annually and be payable in arrears on June 15 and December 15 of each year, commencing on June 15, 2027. The Notes will rank equally with the Group’s indebtedness under its Credit Agreement dated March 31, 2023, with Bank of America, N.A. The Bonds will rank equally with all of Cal Water’s other First Mortgage Bonds and will be secured by liens on the company's properties.
California Water Service Group plans to use the net proceeds from the sale of the Notes to refinance existing indebtedness and for general corporate purposes. Cal Water plans to use the net proceeds from the sale of the Bonds for the same purposes, as set forth in California Public Utilities Code Section 817. The Notes and the Bonds are being offered only to qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933 and have not been registered under the Act.
