American Water Works sells Michigan utility operations to Ullico
American Water Works Company has wrapped up the previously announced $6 million sale of its utility operations in Michigan to Ullico’s infrastructure business, through its portfolio company, Triton Utilities.
The divested Michigan utility operations of American Water Works consist of nearly 5,000 customer connections and a population of around 12,000 people in five townships across northern Houghton County.
The business is engaged in owning, operating, and maintaining a water production and distribution system in the upper peninsula of Michigan.
Susan Hardwick — president and CEO of American Water Works said: “We are pleased with the opportunity to partner with Ullico on the sale of our Michigan operation. They are well-positioned to continue to serve the customers in the area, working with the local employees.
“This decision to sell these operations is consistent with our strategy to operate in states where we can best serve customers and drive efficiencies.”
The former Michigan utility business of American Water Works has been renamed Upper Michigan Water by Ullico.
Rohit Syal — Ullico Infrastructure Fund head of acquisitions said: “Upper Michigan Water is an attractive business that allows us to expand the footprint of our existing water utility platform.
“As a mature utility, Upper Michigan Water can provide stable long-term cash flows as well opportunities for inorganic growth in a new service territory.”