Missouri American Water Completes Acquisition of Wood Heights Water and Wastewater Systems

Rhea-AI Summary

Missouri American Water has completed its acquisition of the Wood Heights water and wastewater systems in Ray County, MO. The acquisition was approved by over 83% of voters and will add approximately 260 water customers and 190 wastewater customers to the company's portfolio. Missouri American Water plans to invest $2 million in system improvements over the next five years.

Positive

• Missouri American Water has successfully acquired the Wood Heights water and wastewater systems, expanding its customer base and portfolio. The acquisition was approved by a significant majority of voters, indicating confidence in the company's services. The addition of new customers is expected to positively impact revenue and potentially lead to future growth opportunities. The planned $2 million investment in system improvements demonstrates the company's commitment to providing clean, safe, and reliable service to the residents of Wood Heights.

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• None.

ST. JOSEPH, Mo.--(BUSINESS WIRE)-- Today Missouri American Water announced the closing of its acquisition of the Wood Heights water and wastewater systems in Ray County, Mo., about 30 miles northeast of Kansas City, Mo.

Over 83% of voters approved the sale in an election held in April 2022.

“We’re honored the residents of Wood Heights have chosen us as their trusted water and wastewater provider, and our dedicated team of professionals looks forward to providing them with clean, safe, reliable and affordable service,” said Jody Carlson, vice president of engineering and business development for Missouri American Water.

The company plans to invest approximately $2 million in water and wastewater system improvements for Wood Heights over the next five years.

“Missouri American Water are the experts when it comes to water and wastewater and will make improvements to the systems that are needed to meet rapidly approaching regulations,” said Frank Davitt, mayor of Wood Heights. “They have the resources to make these critical investments for significantly less than we could on our own.”

The acquisition, which will add approximately 260 water customers and 190 wastewater customers to Missouri American Water’s northwest footprint, was approved by the Missouri Public Service Commission on June 8, 2023.

About American Water

American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to more than 14 million people across 14 regulated jurisdictions and 18 military installations. American Water’s 6,500 talented professionals leverage their significant expertise and the company’s national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders.

As one of the fastest growing utilities in the U.S., American Water expects to invest $30 to $34 billion in infrastructure repairs and replacement, system resiliency and regulated acquisitions over the next 10 years. The company has a long-standing history of executing its core operations, aligned with sustainable best practices, through its commitments to safety, affordability, customer service, protecting the environment, an inclusive workforce and strengthening communities.

American Water has been recognized on the 2023 Bloomberg Gender-Equality Index for the fifth consecutive year, ranked 18^th on Barron’s 100 Most Sustainable U.S. Companies 2023 List, earned the U.S. Department of Homeland Security SAFETY Act designation and U.S. Environmental Protection Agency’s WaterSense® Excellence Award, among additional state, local and national recognitions.

For more information, visit amwater.com and join American Water on LinkedIn, Facebook, Twitter and Instagram.

About Missouri American Water

Missouri American Water, a subsidiary of American Water is the largest investor-owned water utility in the state, providing high-quality and reliable water and wastewater services to approximately 1.6 million people. For more, visit missouriamwater.com and follow Missouri American Water on Twitter, Facebook and LinkedIn.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230721035546/en/

Media Contact:

Megan Watson

External Affairs Specialist

Megan.Watson@amwater.com

Source: Missouri American Water

FAQ

What did Missouri American Water acquire?

Missouri American Water has acquired the Wood Heights water and wastewater systems in Ray County, MO.

How many customers will be added to Missouri American Water's portfolio?

Approximately 260 water customers and 190 wastewater customers will be added to Missouri American Water's portfolio as a result of the acquisition.

What was the voter approval rate for the acquisition?

Over 83% of voters approved the sale of the Wood Heights water and wastewater systems to Missouri American Water.

What are the company's plans for system improvements?

Missouri American Water plans to invest approximately $2 million in water and wastewater system improvements for Wood Heights over the next five years.