New Jersey American Water Signs Agreement to Purchase Manville Wastewater System

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American Water Works (AWK) acquires a water and wastewater utility company adding 3,700 new customers in Camden, NJ.

Acquisition Will Add 3,700 New Customers

CAMDEN, N.J.--(BUSINESS WIRE)-- New Jersey American Water announced today it has signed an agreement to acquire the wastewater collection system (commonly referred to as the sewer system) of the Borough of Manville, N.J. for $6.5 million. This municipally owned system serves approximately 3,700 customers, most of whom already receive water service from New Jersey American Water. The agreement follows a voter referendum that took place in November 2023, in which over 80 percent of the voters approved the sale of the system to New Jersey American Water.

“I want to thank the residents and elected officials of Manville for entrusting us to manage and improve their sewer utility and help safeguard the Borough and the environment from the many risks associated with operating a sewer collection system,” said Mark McDonough, president of New Jersey American Water. “We have extensive experience and expertise in providing drinking water and sewer service. As Manville’s longtime water company, we remain committed to making the needed improvements to provide the community with sewer service that is as safe, reliable and affordable as the water service we provide.”

As part of the acquisition agreement, and subject to approval from the New Jersey Board of Public Utilities (NJ BPU), New Jersey American Water will invest a minimum of $10 million in sewer system improvements in the ten years following completion of the acquisition. The system upgrades include addressing inflow and infiltration, flood mitigation efforts, and sewer main repairs and replacements. The agreement also includes short- and long-term rate stability proposals.

“Selling the sewer system to New Jersey American Water provides a number of benefits to the Borough and our residents including stabilizing municipal property taxes and freeing up Borough resources to be dedicated to other responsibilities,” said Mayor Richard Onderko. “New Jersey American Water continues to put Manville customers first and I trust them to maintain our sewer system with the same level of responsibility and dedication which they do our water system.”

Additional customer benefits include combined monthly billing for water and sewer, and extending the monthly water service charge discount to the monthly sewer service charge for income-qualifying customers who participate in the company’s H2O: Help to Others program.

New Jersey American Water is working with the Borough to help ensure a smooth transition for customers. The company anticipates completing the acquisition in the second half of 2024, pending approval from the NJ BPU.

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 with regulated operations in 14 states and on 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.

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

About New Jersey American Water

New Jersey American Water, a subsidiary of American Water, is the largest regulated water utility in the state, providing high-quality and reliable water and wastewater services to approximately 2.9 million people.

For more information, visit www.newjerseyamwater.com and follow New Jersey American Water on Facebook, X, Instagram and LinkedIn.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240307465906/en/

Media:

Denise Venuti Free

Senior Director of Communications and External Affairs

denise.free@amwater.com

Source: New Jersey American Water

FAQ

What is the latest acquisition made by American Water Works?

American Water Works has acquired a water and wastewater utility company in Camden, NJ.

How many new customers will be added through the acquisition?

The acquisition will add 3,700 new customers to American Water Works.

Where is the acquired company based?

The acquired company is based in Camden, NJ.

What industry does American Water Works operate in?

American Water Works operates in the water and wastewater utility industry.

What is the ticker symbol for American Water Works?

The ticker symbol for American Water Works is AWK.