Western Midstream to acquire Aris Water in $1.5B equity and cash deal

Western Midstream Partners, LP (WES) and Aris Water Solutions, Inc. (ARIS) announced that the parties have entered into a definitive agreement pursuant to which WES will acquire all of the outstanding shares of Aris in an equity-and-cash transaction valued at approximately $1.5 billion. Under the terms of the agreement, Aris shareholders will receive 0.625 common units of WES for each Aris share, with the option to elect to receive $25.00 per share in cash, subject to possible proration with a maximum total cash consideration for the transaction of $415 million. Based on WES’s closing price on August 5, 2025, and assuming maximum cash consideration, the transaction represents a premium of 10-percent to Aris’s 30-day VWAP and a premium of 23-percent to Aris’s closing price on August 5, 2025. The total enterprise value of the transaction is approximately $2.0 billion before transaction costs. The merger agreement, which was unanimously approved by the Boards of Directors of both companies, is subject to customary closing conditions, regulatory approvals, and Aris shareholder approval, and is expected to close in the fourth quarter of 2025.