American Water announced that it has agreed to acquire all of the issued and outstanding capital stock of the Environmental Disposal Corp. (EDC). EDC provides wastewater service to the more than 5,300 customer accounts, which are located in EDC’s service territory in Bedminster and Bernards Townships, N.J. In addition, EDC provides retail wastewater treatment to the Boroughs of Far Hills, Peapack, Gladstone and portions of Bedminster, outside EDC’s service territory, on the basis of long-term contracts.
“Increasingly stringent environmental regulations coupled with the ongoing need to invest capital into modern wastewater systems can prove challenging for some systems,” said Susan Story, president and CEO of American Water. “EDC’s customers will benefit from our operational and engineering expertise, as well as our commitment to make the necessary capital investment to ensure their wastewater service meets and routinely surpasses state and federal standards.”
Michael Leeder, president of EDC said, “We are excited to have reached an agreement for American Water to acquire EDC. American Water’s extensive utility expertise, familiarity with the service territory and commitment to customer service will allow EDC’s customers to continue to receive exceptional service.”
Janney Montgomery Scott served as exclusive financial adviser to EDC.
Financial terms of the sale were not disclosed. American Water has filed a petition with the New Jersey Board of Public Utilities and will complete the acquisition upon approval.
Source: American Water
