Maui Land & Pineapple Evaluates Water Source Assets for Sale or Lease
ByAinvest
Wednesday, Sep 10, 2025 5:08 pm ET2min read
MLP--
A new board subcommittee, chaired by independent director Ken Ota, will oversee the evaluation process. Ota brings over 30 years of experience in water systems and is a respected local expert. The initiative aims to enhance water security across the island while potentially redirecting resources toward other priorities, such as housing development. The company has not established a specific timeline for completing the evaluation [2].
MLP is exploring selling water assets to enhance shareholder value and potentially fund housing initiatives amid Maui's water security challenges. The company has invested tens of millions in this infrastructure over decades, and a sale could generate significant cash influx while simultaneously reducing operational expenses associated with maintaining aging water systems [1].
The deliberate approach without a set timetable indicates management is prioritizing optimal value rather than rushing a transaction, suggesting confidence in asset quality. The strategic review represents a potential transformation of MLP's business model, as the company seeks to monetize its undervalued water assets [1].
The review and marketing of certain assets for sale began in early 2025. The company owns critical water-related assets on Maui, including source, storage, and transmission systems. In Upcountry Maui, assets include the Pi‘iholo Well, with an estimated capacity of over 1 million gallons per day, along with land for additional well sites, pumps, and storage facilities. West Maui water assets include a collection of high-quality groundwater wells and a surface water system which serves the County of Maui for a large portion of Lahaina’s drinking water along with irrigation use in Kapalua and surrounding areas [2].
The company's CEO, Race Randle, stated, "For more than a century, MLP has invested tens of millions of dollars to construct and responsibly manage critically important water infrastructure in communities across Maui. With Maui communities in need of additional water sources and experiencing severe drought conditions, we’re hopeful that these assets may increase water security across the island." The subcommittee believes the sale of certain water-related assets may support the acceleration of other priority business efforts, including critically needed housing creation [2].
The company has not set a timetable for concluding its evaluation. Additional disclosures are not anticipated unless and until the Company determines that further disclosure is appropriate or required [2].
This strategic review underscores MLP's commitment to enhancing water security and diversifying its business portfolio. As the review progresses, investors will be watching for updates on potential sale or lease options and their impact on the company's financial performance and shareholder value.
Word Count: 300
Maui Land & Pineapple Company is conducting a strategic review of its water source and transmission assets, including potential sale or lease options. The assets include source, storage, and transmission systems in Upcountry and West Maui. The company hopes the sale may increase water security across the island and support other business efforts, such as housing creation. A subcommittee of the board will oversee the evaluation, chaired by Ken Ota, a respected expert with over 30 years of experience in water systems. The review has been underway since early 2025.
Maui Land & Pineapple Company, Inc. (NYSE: MLP) has announced a strategic review of its water-related assets, with a focus on potential sale or lease options. The company owns critical water infrastructure in Maui, including the Pi'iholo Well in Upcountry Maui with a capacity exceeding 1 million gallons per day, and West Maui assets comprising groundwater wells and a surface water system serving Lahaina's drinking water needs [1].A new board subcommittee, chaired by independent director Ken Ota, will oversee the evaluation process. Ota brings over 30 years of experience in water systems and is a respected local expert. The initiative aims to enhance water security across the island while potentially redirecting resources toward other priorities, such as housing development. The company has not established a specific timeline for completing the evaluation [2].
MLP is exploring selling water assets to enhance shareholder value and potentially fund housing initiatives amid Maui's water security challenges. The company has invested tens of millions in this infrastructure over decades, and a sale could generate significant cash influx while simultaneously reducing operational expenses associated with maintaining aging water systems [1].
The deliberate approach without a set timetable indicates management is prioritizing optimal value rather than rushing a transaction, suggesting confidence in asset quality. The strategic review represents a potential transformation of MLP's business model, as the company seeks to monetize its undervalued water assets [1].
The review and marketing of certain assets for sale began in early 2025. The company owns critical water-related assets on Maui, including source, storage, and transmission systems. In Upcountry Maui, assets include the Pi‘iholo Well, with an estimated capacity of over 1 million gallons per day, along with land for additional well sites, pumps, and storage facilities. West Maui water assets include a collection of high-quality groundwater wells and a surface water system which serves the County of Maui for a large portion of Lahaina’s drinking water along with irrigation use in Kapalua and surrounding areas [2].
The company's CEO, Race Randle, stated, "For more than a century, MLP has invested tens of millions of dollars to construct and responsibly manage critically important water infrastructure in communities across Maui. With Maui communities in need of additional water sources and experiencing severe drought conditions, we’re hopeful that these assets may increase water security across the island." The subcommittee believes the sale of certain water-related assets may support the acceleration of other priority business efforts, including critically needed housing creation [2].
The company has not set a timetable for concluding its evaluation. Additional disclosures are not anticipated unless and until the Company determines that further disclosure is appropriate or required [2].
This strategic review underscores MLP's commitment to enhancing water security and diversifying its business portfolio. As the review progresses, investors will be watching for updates on potential sale or lease options and their impact on the company's financial performance and shareholder value.
Word Count: 300
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