American Water Works Company and Essential Utilities have announced that the Kentucky Public Service Commission has approved their proposed merger. The decision marks the first regulatory approval secured by the two companies on the path to completing the transaction.
The Kentucky ruling follows votes by shareholders of both companies, who approved the deal at their respective special meetings in February 2026. The all-stock transaction, first announced on 27 October 2025, would create a combined group serving more than 4.7 million water and wastewater customer connections and over 740,000 gas customer connections. The merged entity would operate under the American Water name and be headquartered in Camden, New Jersey.
The companies expect the transaction to close by the end of the first quarter of 2027. Completion remains subject to customary closing conditions, including clearance under the Hart-Scott-Rodino Act and approvals from applicable public utility commissions in other jurisdictions.
