Essential, American Water reach non-unanimous PaPUC deal

Rhea-AI Filing Summary

Essential Utilities, Inc. (WTRG) reports that Administrative Law Judges of the Pennsylvania Public Utility Commission issued an interim order in the proceeding on the proposed merger of Essential Utilities with a wholly owned subsidiary of American Water Works Company, Inc. The order states that American Water, Essential Utilities, and certain affiliates have reached a non-unanimous settlement, which remains subject to approval by the PaPUC. The disclosure is provided under Regulation FD and is accompanied by extensive cautionary language regarding forward-looking statements and the remaining regulatory, integration, and other risks related to the proposed merger.

Key Figures

Date of earliest event reported: August 28, 2026 Form S-4 Registration No.: 333-292182 Form S-4 effectiveness date: December 30, 2025 +3 more

6 metrics

Date of earliest event reported August 28, 2026 Earliest event date for the current report on Form 8-K

Form S-4 Registration No. 333-292182 American Water’s registration statement related to the proposed merger

Form S-4 effectiveness date December 30, 2025 Date the Form S-4 was declared effective by the SEC

American Water Form 10-K year-end December 31, 2025 Fiscal year covered by American Water’s referenced Form 10-K

American Water Form 10-K filing date February 18, 2026 Filing date of American Water’s Form 10-K cited for risk factors

Essential Utilities Form 10-K filing date February 26, 2026 Filing date of Essential Utilities’ Form 10-K cited for risk factors

Key Terms

Regulation FD Disclosure, Administrative Law Judges, non-unanimous settlement, forward-looking statements, +2 more

6 terms

Regulation FD Disclosure regulatory

"Item 7.01. Regulation FD Disclosure. Administrative Law Judges’ Order"

Regulation FD disclosure requires public companies to share important, market-moving information with everyone at the same time instead of tipping off analysts or large investors first. Think of it as making sure all players on a field hear the same announcement simultaneously; that fairness helps investors trust that stock prices reflect the same information and reduces the risk of sudden, unfair trading advantages or regulatory penalties for selective leaks.

Administrative Law Judges regulatory

"the Administrative Law Judges (the “ALJs”) issued an interim order"

non-unanimous settlement regulatory

"had reached a non-unanimous settlement in this proceeding"

forward-looking statements regulatory

"Certain statements included in this communication are forward-looking statements"

Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

definitive merger agreement regulatory

"ability to consummate the proposed merger pursuant to the terms of the definitive merger agreement"

A definitive merger agreement is the final, signed contract that sets the exact terms for two companies to combine, including the price, payment method, conditions to closing, and what happens if the deal falls apart. For investors it matters because it turns a tentative plan into a legally binding arrangement—like signing a mortgage rather than agreeing to look at a house—so it often has an immediate effect on share prices and clarifies the risks from regulatory approval, financing or breakup fees.

joint proxy statement/prospectus regulatory

"in the definitive joint proxy statement/prospectus, as filed with the SEC"

A joint proxy statement/prospectus is a single, combined document that both asks shareholders to vote on a proposed transaction and provides the detailed information required when new securities are being offered. Think of it as a combined ballot and product brochure that explains the deal, the companies’ finances, key risks and how ownership will change. Investors rely on it to understand the terms, evaluate risks and make informed voting and investment decisions.

FAQ

What did Essential Utilities (WTRG) announce regarding the Pennsylvania merger proceeding?

Essential Utilities reported that Administrative Law Judges in the Pennsylvania Public Utility Commission proceeding on its proposed merger with a subsidiary of American Water stated that the parties and certain affiliates reached a non-unanimous settlement, which is still subject to PaPUC approval.

Does the PaPUC’s interim order mean the Essential Utilities (WTRG) merger is approved?

No. The interim order notes that a non-unanimous settlement has been reached, but the settlement and proposed merger remain subject to approval by the Pennsylvania Public Utility Commission. The outcome and timing of that approval process are not determined in this report.

What transaction is Essential Utilities (WTRG) involved in with American Water?

Essential Utilities is party to a proposed merger under which it would merge with and into a wholly owned subsidiary of American Water Works Company, Inc. The filing discusses regulatory proceedings, potential benefits, risks, and forward-looking statements related to this proposed combination.

How does Essential Utilities (WTRG) describe the risks around the proposed merger?

Essential Utilities highlights numerous risks and uncertainties, including the ability to consummate the merger, obtain governmental and regulatory approvals, potential burdensome conditions, integration challenges, failure to realize synergies, litigation risk, and macroeconomic and regulatory factors affecting their water and wastewater utility businesses.

Is the Essential Utilities (WTRG) communication an offer to sell or buy securities?

No. The company states this communication is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities. Any offering would only be made by a prospectus meeting Section 10 of the Securities Act.

Where can investors find more details on the Essential Utilities (WTRG) merger with American Water?

Further details are in American Water’s registration statement on Form S-4 (Registration No. 333-292182), declared effective on December 30, 2025, and in American Water’s and Essential Utilities’ Form 10-K and other filings and a definitive joint proxy statement/prospectus filed on December 31, 2025.

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Available on EDGAR 08/31/2026 - 04:26 PM Accepted by SEC EDGAR 08/31/2026 - 04:20 PM Learn about SEC filing dates

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
_____________

FORM 8-K

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): August 28, 2026

Essential Utilities, Inc.
(Exact Name of Registrant Specified in Charter)

Pennsylvania	001-06659	23-1702594
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

762 West Lancaster Avenue
Bryn Mawr, Pennsylvania		19010-3489
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s telephone number, including area code: (610) 527-8000

_______________________________________________

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☒    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common stock, par value $0.50 per share		WTRG		New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 7.01.    Regulation FD Disclosure.

Administrative Law Judges’ Order in Pennsylvania Public Utility Commission (the “PaPUC”) Proceedings with respect to Proposed Merger with Essential Utilities, Inc.

On August 28, 2026, in the proceeding before the PaPUC related to the proposed merger of Essential Utilities, Inc. (“Essential Utilities”) with and into a wholly owned subsidiary of American Water Works Company, Inc. (“American Water” or the “Company”), the Administrative Law Judges (the “ALJs”) issued an interim order that stated, among other things, that American Water, Essential Utilities, and certain of their affiliates had reached a non-unanimous settlement in this proceeding. The non-unanimous settlement is subject to the approval of the PaPUC.

The information furnished in response to this Item 7.01 shall not be deemed to be “filed” for purposes of the Securities Act of 1933, as amended (the “Securities Act”), or the Securities Exchange Act of 1934, as amended (the “Exchange Act”), except as shall be expressly set forth by specific reference in such filing.

Cautionary Statement Regarding Forward-Looking Statements

Certain statements included in this communication are forward-looking statements within the meaning of Section 27A of the Securities Act, Section 21E of the Exchange Act, and the Private Securities Litigation Reform Act of 1995. In some cases, these forward-looking statements can be identified by words with prospective meanings such as “intend,” “plan,” “estimate,” “believe,” “anticipate,” “expect,” “predict,” “project,” “propose,” “assume,” “forecast,” “outlook,” “future,” “likely,” “pending,” “goal,” “objective,” “potential,” “continue,” “seek to,” “may,” “can,” “will,” “should” and “could,” or the negative of such terms or other variations or similar expressions. Forward-looking statements may relate to, among other things: statements about the benefits of the proposed merger, including future financial and operating results; the parties’ respective plans, objectives, expectations and intentions; the expected timing and likelihood of completion of the merger and related transactions; the results of any strategic review; expected synergies of the proposed merger; the timing and result of various regulatory proceedings related to the proposed merger, and other general rate cases, filings for infrastructure surcharges and other governmental agency authorizations and proceedings, and filings to address regulatory lag; the combined company’s ability to execute its current and long-term business, operational, capital expenditures and growth plans and strategies; the amount, allocation and timing of projected capital expenditures and related funding requirements; the future impacts of increased or increasing transaction and financing costs associated with the proposed merger or otherwise, as well as inflation and interest rates; each party’s ability to finance current and projected operations, capital expenditure needs and growth initiatives by accessing the debt and equity capital markets and sources of short-term liquidity; impacts of the proposed merger on the future settlement or settlements of a party’s forward sale agreements, including potential adjustments to the forward sale price or other economic terms thereunder, and the amount of and the intended use of net proceeds from any such future settlement or settlements; the outcome and impact on other governmental and regulatory investigations; the filing of class action lawsuits and other litigation and legal proceedings related to the proposed merger; the ability to complete, and the timing and efficacy of, the design, development, implementation and improvement of technology and other strategic initiatives; each party’s ability to comply with new and changing environmental regulations; regulatory, legislative, tax policy or legal developments; and impacts that future significant tax legislation may have on each such party and on its business, results of operations, cash flows and liquidity.

These forward-looking statements are predictions based on currently available information, the parties’ current respective expectations and assumptions regarding future events that American Water and Essential Utilities believe to be reasonable. They are not, however, guarantees or assurances of any outcomes, performance or achievements, and readers are cautioned not to place undue reliance upon them. You should not regard any forward-looking statement as a representation or warranty by American Water, Essential Utilities or any other person that the expectation, plan or objective expressed in such forward-looking statement will be successfully achieved in any specified time frame, or at all. The forward-looking statements are subject to a number of estimates and assumptions, and known and unknown risks, uncertainties and other factors. Actual results may differ materially from those discussed in the forward-looking statements included in this communication as a result of the factors discussed in American Water’s Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the Securities and Exchange Commission (the “SEC”) on February 18, 2026 (available at: ir.amwater.com), Essential Utilities’ Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC on February 26, 2026 (available at: essential.co), and each party’s other filings with the SEC, and additional risks and uncertainties, including with respect to (1) the parties’ ability to consummate the proposed merger pursuant to the terms of the definitive merger agreement or at all; (2) each party’s requirement to obtain required governmental and regulatory approvals required for the proposed merger (and/or that such approvals may result in the imposition of burdensome or commercially undesirable conditions, including required dispositions, that could adversely affect the combined company or the expected benefits of the proposed merger); (3) an event, change or other circumstance that could give rise to the termination of the merger agreement; (4) the failure to satisfy or waive a condition to closing of the proposed merger on a timely basis or at all; (5) a delay in the timing to consummate the proposed merger; (6) the failure to integrate the parties’ businesses successfully; (7) the failure to fully realize benefits, efficiencies and cost savings from the proposed merger or that such benefits, efficiencies and cost savings may take longer to realize or be more costly to achieve than expected; (8) negative or adverse impacts of the announcement of the proposed merger on the market price of American Water’s or Essential Utilities’ common stock; (9) the risk of litigation, legal proceedings or other challenges related to the proposed merger; (10) disruption from the proposed merger making it more difficult to maintain relationships with customers, employees, contractors, suppliers, regulators, vendors, elected officials, governmental agencies, or other stakeholders; (11) the diversion of each party’s management’s time and attention from ongoing business operations and opportunities of such party on merger-related matters; (12) the challenging macroeconomic environment, including disruptions in the water and wastewater utility industries; (13) the ability of each party to manage its respective existing operations and financing arrangements on favorable terms or at all, including with respect to future capital expenditures and investments, operations, and maintenance costs; (14) changes in environmental laws and regulations regarding each party’s respective operations that may adversely impact such party’s businesses or increase the cost of operations; (15) changes in each party’s key management and personnel; (16) changes in tax laws that could adversely affect beneficial tax treatment of the proposed merger; (17) regulatory, legislative, local or municipal actions affecting the water and wastewater industries, which could adversely affect the parties’ respective utility subsidiaries; and (18) other economic, business and other factors, including inflation, interest rate fluctuations or tariffs. The foregoing factors should not be construed as exhaustive.

These forward-looking statements are qualified by, and should be read together with, the risks and uncertainties set forth above and the risk factors included in American Water’s and Essential Utilities’ respective annual and quarterly reports as filed with the SEC and in the definitive joint proxy statement/prospectus, as filed with the SEC on December 31, 2025 (available at: https://www.sec.gov/Archives/edgar/data/1410636/000119312525337598/d15683d424b3.htm), and readers should refer to such risks, uncertainties and risk factors in evaluating such forward-looking statements. Any forward-looking statements speak only as of the date this communication is first used or given. Neither American Water nor Essential Utilities has any obligation or intention to update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise, except as otherwise required by the federal securities laws. New factors emerge from time to time, and it is not possible for American Water or Essential Utilities to predict all such factors. Furthermore, it may not be possible to assess the impact of any such factor on American Water’s or Essential Utilities’ businesses, viewed independently or together, or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement.

Proposed Merger

For additional information regarding the proposed merger, please see American Water’s registration statement on Form S-4 (Registration No. 333-292182), which was declared effective by the SEC on December 30, 2025, and the other documents that American Water or Essential Utilities has filed or may file with the SEC.

No Offer or Solicitation

This communication is for informational purposes and is not intended to, and shall not, constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any offer or sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	ESSENTIAL UTILITIES, INC.
Dated: August 31, 2026	By:	/s/ Christopher P. Luning
		Christopher P. Luning
		Executive Vice President, General Counsel