Western Midstream to acquire Aris Water Solutions in $1.5 billion deal
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Western Midstream Partners, LP (NYSE: WES) will acquire Aris Water Solutions, Inc. (NYSE: ARIS) in an equity-and-cash deal valued at about $1.5 billion, with a total enterprise value of $2.0 billion before transaction costs. Aris shareholders will receive 0.625 WES common units per share or $25 in cash, subject to proration, with total cash consideration capped at $415 million. The deal represents a 10% premium to Aris’s 30-day VWAP and a 23% premium to its August 5, 2025, closing price.
Both companies’ boards unanimously approved the agreement, which is expected to close in Q4 2025 pending regulatory and shareholder approvals. WES will issue about 26.6 million common units and retain Aris’s $500 million in senior notes. Aris shareholders will own about 7% of WES after closing.
The acquisition adds Aris’s 790 miles of produced-water pipeline, 1,800 MBbls/d handling capacity, 1,400 MBbls/d recycling capacity, and 625,000 dedicated acres
The acquisition adds Aris’s 790 miles of produced-water pipeline, 1,800 MBbls/d handling capacity, 1,400 MBbls/d recycling capacity, and 625,000 dedicated acres. WES’s produced-water business currently includes 830 miles of pipeline and 2,035 MBbls/d disposal capacity. The integration expands WES’s footprint into Lea and Eddy Counties, New Mexico, and builds on Aris’s McNeill Ranch acquisition.
“We are excited to announce the strategic combination with Aris, which aligns with our strategy of acquiring high-quality midstream assets that complement and expand our existing network,” said WES CEO Oscar Brown, citing opportunities for enhanced flow assurance, customer diversification, and technology development.
Aris CEO Amanda Brock said, “Today’s transaction marks a significant milestone in Aris’s journey, and we are excited to join forces with WES. The combination of Aris and WES creates a premier midstream water-solutions provider of scale… and generate strong returns for our shareholders.”
WES has secured support agreements from Aris shareholders holding about 42% of its stock.
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