HARRINGTON PARK, NJ, July 23, 2007 -- United Water, one of the nation's largest water service companies, announced today that it has acquired AOS Operating Company from United Kingdom-based Kelda Group for $6.55 million. AOS Operating Company provides water and wastewater operations and maintenance services, largely for municipal clients in New England and California. With the completion of today's transaction, AOS Operating Company is now a wholly-owned subsidiary of United Water.
"United Water possesses a strong reputation in the water industry as a national company with significant regional roots and the acquisition of AOS Operating Company strengthens our presence in the northeast and on the west coast," said United Water CEO Tony Harding. "This transaction is in line with our managed growth goal to increase both the size and breadth of our regulated and contract services through acquisitions and organic growth.'
AOS Operating Company, which has 180 employees, adds 82 water and wastewater services contracts, serving more than 650,000 people in Connecticut, Rhode Island, New Hampshire, Massachusetts, New York and California, to United Water's contract services portfolio. The total annual revenues for AOS Operating Company's water and wastewater contract operations were in excess of $30 million in 2006.
Harding noted that as part of its proximity growth strategy, United Water recently acquired Aquarion Water Company of New York in May. This regulated water utility serves 50,000 people in Westchester County, New York, adjacent to United Water's operation in New Rochelle and 10 other Westchester communities.
United Water now provides water and wastewater services to 7.7 million people in 21 states. The company is a subsidiary of the Suez Environment division of the Suez Group, which supplies sustainable solutions for essential environmental services (water, sanitation and waste services) to industrial and individual customers around the world.
United Water is a key component in the Suez strategy to expand its position in North America. "Our growth needs the support of our parent company and we are pleased that they have provided the funding necessary for us to grow our business," Harding said. "It shows the confidence they have in our ability to provide value to our customers and also to our shareholder."
United Water provides water and wastewater services to 7.7 million people in 21 states through the dedication of its 2,220 employees. In addition to owning and operating 25 regulated utilities, United Water operates 147 municipal systems through public-private partnerships and contact agreements including four of the nation's largest water and wastewater contracts: Milwaukee, WI, Indianapolis, IN, Gary, IN and Jersey City, NJ. Founded in 1869, United Water is a subsidiary of the Suez Environment division of the Suez Group.
Suez Environment, a Suez business line, provides equipment and services that protect the environment and deliver the essentials of life. Its activities include drinking water production and distribution, wastewater collection and treatment, and waste treatment and recovery. Backed by its experience in the water and waste cycles, Suez Environment has a wide-ranging portfolio of know-how in providing a sustainable solution to the requirements of local authorities and businesses. Suez Environment employs over 57,500 people worldwide and in 2006, generated revenues of $15.2 billion.
Based in Bradford, England, Kelda is one of the ten largest water and wastewater companies in the world, providing high quality services to 4.5 million people and 140,000 businesses every day. Kelda operates 730 water and wastewater plants that cover the entire spectrum of treatment technology and facility size.
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Also see: "United Water announces intention to purchase AOS Operating Company from Kelda Group of UK"
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