American Water Works Company Completes \$315 Million Acquisition of Nexus Water Group Systems Across Eight States

Key Highlights for Investors

• Acquisition Value: American Water Works Company, Inc. (NYSE: AWK) has finalized the purchase of water and wastewater systems from Nexus Regulated Utilities, LLC (a subsidiary of Nexus Water Group, Inc.) for approximately \$315 million.
• Strategic Expansion: The acquisition expands American Water’s customer base by around 47,000 new customer connections in Illinois, Indiana, Kentucky, Maryland, New Jersey, Pennsylvania, Tennessee, and Virginia.
• Workforce Growth: About 70 Nexus Water Group employees are being integrated into American Water’s state operations, strengthening local expertise and operational continuity.
• Regulatory Approval: The transaction was completed following the receipt of all necessary regulatory approvals from state public utility commissions and other governmental entities as of May 21, 2026.
• Customer Transition: American Water is initiating a seamless transition for new customers, offering enhanced customer service benefits, including online account management, flexible payment options, and assistance programs for those needing help with their bills.
• Growth Strategy: This move aligns with American Water’s core growth strategy and is expected to deliver operational synergies, leveraging the company’s national scale and expertise.
• Market Position: American Water is the largest regulated water and wastewater utility company in the U.S., now serving approximately 14 million people in 14 states and 18 military installations.

Potential Price-Sensitive Information for Shareholders

• Acquisition Impact: The addition of 47,000 new customer connections and integration of 70 skilled employees is expected to enhance American Water’s revenue base and operational efficiency.
• Synergy and Growth: Management emphasizes leveraging the company’s size and expertise to deliver safe, reliable, and affordable water and wastewater services, potentially leading to improved margins and customer satisfaction.
• Regulatory Risks: The press release includes a Cautionary Statement noting risks and uncertainties, including the possibility that expected synergies, benefits, and operational goals may not be fully realized, and unforeseen costs, liabilities, or regulatory changes could impact performance.
• Forward-Looking Statements: Investors should be aware that future outcomes depend on successful integration, regulatory landscape, and economic factors. There is no guarantee of future performance, and American Water does not undertake any duty to update these statements.

Operational and Customer Service Details

The transition for new customers is being managed carefully, with additional information distributed via mail and available on American Water’s website. New customers will benefit from robust customer service features, such as the MyWater online portal, flexible payment options, and assistance programs for those facing financial hardship.

American Water’s workforce of approximately 7,000 professionals continues to leverage significant expertise and national scale to achieve excellent outcomes for customers, employees, investors, and stakeholders. This acquisition marks another milestone in American Water’s 140-year history and underscores its commitment to sustainable growth and service excellence.

Contact Information

• Investor Contact: Aaron Musgrave, Vice President, Investor Relations, (856) 955-4029, [email protected]
• Media Contact: Maureen Duffy, Executive Vice President, Communications and External Affairs, (856) 955-4163, [email protected]

Disclaimer

This article contains information based on public disclosures by American Water Works Company, Inc. The content includes forward-looking statements that are subject to risks and uncertainties. Actual results may differ materially due to various factors, including regulatory actions, integration risks, and economic conditions. Investors are advised to consult official filings and conduct their own due diligence before making investment decisions. This article does not constitute investment advice.