Pennsylvania American Water reaches deal to acquire Appalachian Utilities

Pennsylvania American Water announced today that an agreement has been reached for it to acquire Appalachian Utilities, Inc. Under the terms of the transaction, an affiliate of Pennsylvania American Water will merge with Appalachian and, subsequently, Appalachian will merge into Pennsylvania American Water. Appalachian is a private, investor-owned system serving approximately 1,450 customers in Avis Borough, Pine Creek Township, and Dunnstable Township, Clinton County, and is located near Pennsylvania American Water’s existing Milton, Nittany, and Boggs water systems. “Appalachian has served our customers proudly since 1995, and we are grateful for our partnership with the community over this time,” explained Frank Sargent, Jr., president of Appalachian. “We believe that this transaction with Pennsylvania American Water will ensure that our customers and employees are placed in the hands of another competent, community-minded utility partner going forward.” As part of the agreement, Pennsylvania American Water plans to invest more than $6.5M into the system to upgrade aging water infrastructure. “We look forward to becoming the water service provider for these customers in Clinton County, and we appreciate that the leadership at Appalachian Utilities, Inc. is entrusting us with this privilege,” said Pennsylvania American Water President Justin Ladner. “The system upgrades we plan to make will benefit area customers, and the acquisition will further promote regionalization and consolidation of our central Pennsylvania systems.”