Summary
This 8-K filing by American Water Works Company, Inc. (AWK) on November 19, 2009, primarily details a significant secondary offering of the Company's common stock by a major shareholder, RWE Aqua Holdings GmbH. A total of 37,351,617 shares were offered at a price of $21.63 per share. Importantly, American Water Works Company, Inc. itself will not receive any proceeds from this sale, as the shares are being sold directly by the selling stockholder. Investors should note the lock-up agreements in place: the Company and its officers/directors are subject to a 90-day lock-up, while the selling stockholder has a 45-day lock-up. These restrictions impact the immediate ability of insiders and the selling shareholder to trade their shares, which could influence market dynamics post-offering. The filing is significant as it pertains to a substantial block of AWK shares entering the public market from a major entity.
Key Highlights
- 1RWE Aqua Holdings GmbH is selling 37,351,617 shares of American Water Works Company, Inc. common stock.
- 2The public offering price is set at $21.63 per share.
- 3American Water Works Company, Inc. will not receive any proceeds from this stock sale.
- 4The Company and its officers/directors are subject to a 90-day lock-up period on their shares.
- 5The selling stockholder, RWE Aqua Holdings GmbH, is subject to a 45-day lock-up period.
- 6The underwriting agreement was entered into on November 17, 2009.
- 7This filing is an 8-K reporting other events, specifically related to the underwriting agreement for the stock offering.