The Ohio Public Utilities Commission issued an order approving the all-stock merger of American Water and Essential Utilities, marking the deal’s second major regulatory green light after Kentucky’s approval on April 21, 2026. This decision moves the transaction closer to completion by satisfying a key state-level requirement.

Shareholders of both companies previously endorsed the transaction with overwhelming margins, and Kentucky regulators granted their approval in late April 2026. These approvals follow the October 27, 2025 announcement of the merger, which has now cleared two of several anticipated jurisdictional reviews.

Upon closing, the merged company will operate under the American Water name, headquartered in Camden, New Jersey, serving more than 4.7 million water and wastewater connections and 740,000 natural gas connections. Management expects the transaction to finalize by the end of the first quarter of 2027.

The merger still requires Hart-Scott-Rodino Act clearance and sign-offs from additional public utilities commissions. Both companies will work through customary closing conditions, including further regulatory filings and approvals, before the transaction can be completed.