Tripp Levy PLLC Investigates Proposed Acquisition of SouthWest Water

Tripp Levy PLLC announces an investigation into the proposed acquisition of Southwest Water Company (NASDAQ: SWWC). On March 3, 2010, SouthWest Water announced that it has entered into an agreement to be acquired for approximately $275 million in cash, or $11.00 per share, by institutional investors advised by J.P. Morgan Asset Management and Water Asset Management L.L.C. (the partnership).

However, SouthWest Water may not have adequately shopped itself around before entering into this transaction and, pursuant to this proposed transaction, the partnership may be underpaying for SouthWest Water, thus unlawfully harming SouthWest Water shareholders. In addition, prior to the closing of the acquisition, members of the partnership will invest approximately $16 million in 2.7 million newly issued SouthWest Water shares under a private placement, priced at $6.00 per share.

The investigation concerns, among other things, whether the consideration to be paid to SouthWest Water shareholders is grossly unfair, inadequate, and substantially below the fair or inherent value of SouthWest Water. The investigation further concerns whether the directors of SouthWest Water may have breached their fiduciary duties by not acting in SouthWest Water shareholders' best interests in connection with the sale process of SouthWest Water.

If you own SouthWest Water common stock and you wish to discuss this matter with us, or have any questions concerning your rights and interests with regard to this matter, please contact