Eversource Energy, an electricity and natural gas utility with NH headquarters in Manchester, reached an agreement to acquire Aquarion Water Company in Connecticut for an enterprise value of $1.675 billion, comprised of $880 million in cash and $795 million of assumed Aquarion debt. Eversource intends to finance the transaction with a combination of cash and a small amount of debt.
The acquisition merges New England’s largest energy company and the region’s largest private water company, both of which cover communities in Connecticut, Massachusetts and NH. Eversource employs 8,000 and covers 3.7 million electric and natural gas customers, including electric customers in 211 NH towns. Aquarion, which has its NH headquarters in Hampton, is the public water supply company for 230,000 water customers, including about 9,100 homes (or 25,000 people) in Hampton, North Hampton and Rye.
“Eversource has such strong local ties to New England, and a commitment to operational excellence, customer service and support for the communities we serve,” says Chuck Firlotte, president and CEO of Aquarion. “These are qualities we share and will serve us well as we join with Eversource’s incredible team of employees.”
The acquisition requires approval from the Connecticut Public Utilities Regulatory Authority, the Massachusetts Department of Public Utilities and the NH Public Utilities Commission. It also requires U.S. Justice Department review under the Hart-Scott-Rodino Act. The transaction is expected to close by December 31, 2017.
Jim Judge, chairman, president and CEO of Eversource, says that “Welcoming Aquarion to our team provides an exciting opportunity to add a new, highly complementary business line that delivers high quality water at affordable rates. For Aquarion, becoming a part of Eversource ensures local ownership that is committed to providing the resources needed to make investments in the business to drive long-term success.”
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