Alternative asset manager The Carlyle Group has agreed to acquire Park Water Company, a California-based investor-owned water utility company, from Henry Wheeler, Jr. and the Wheeler Family.

Carlyle’s investment will be made by Carlyle Infrastructure Partners, a $1.14bn fund that invests primarily in transportation and water infrastructure projects in the US and Canada ranging from $100m to more than $1bn in enterprise value.

The definitive agreement is subject to regulatory approval. Financial terms were not disclosed.

Park Water is located in Downey, California and provides water to southeast Los Angeles County. Park Water also owns two other water utilities – Apple Valley Ranchos Water Company in California and Mountain Water Company in Montana.

Carlyle managing director and co-head of Carlyle’s global infrastructure practice Robert Dove said this investment is a strategic addition to Carlyle’s fund, and Carlyle is keen to support Park Water and its subsidiaries by providing capital to reinvest in the company’s operations to ensure the highest quality water standards and customer service.

"We are particularly pleased that Mr Wheeler has agreed to continue his involvement with Park Water by being a member of the board of directors and serving as a consultant to the company," Dove added.