American Water Works Company and Essential Utilities announced an all-stock, tax-free merger on Oct. 27 that would create a water utility valued at approximately $63 billion. A news release notes that the combined company would have a pro forma market capitalization of approximately $40 billion.

The new company, called American Water, will serve 4.7 million water and wastewater connections across 17 states with a combined water and wastewater rate base of approximately $29.3 billion. Upon completion of the merger, American Water shareholders will own approximately 69% and Essential shareholders will own approximately 31% on a fully diluted basis.

The resulting company will be headquartered in Camden, NJ. Essential’s Bryn Mawr and Pittsburgh offices will each continue to maintain a strong operational presence.

Full details of the transaction can be found in the news release.