American Water acquires Dale Service

In its largest transaction in 10 years, American Water Works Co. (Voorhees, NJ) has acquired Dale Service Corp. (Woodbridge, VA) for about $27.7 million. Dale Service is a wastewater utility serving about 20,000 customers, or 50,000 people, in northern Virginia. American Water said that the acquisition marks the entry of its subsidiary Virginia American Water, which is the largest investor-owned water utility in Virginia, into the wastewater services market. Dale Service’s territory overlaps Virginia American Water’s water service territory in Prince William County. “This acquisition is a great example of how we grow our business in areas that make sense for the company and its customers,” said Jeff Sterba, president and CEO of American Water. “By expanding into the wastewater market in our existing water service footprint, we create greater efficiency and economies of scale, which benefits our customers.”