Xylem Inc. (NYSE : XYL )agreed to acquire Sensus for about $1.7 billion to enhance technology offerings in water distribution and treatment.

The purchase “will better meet our customers’ evolving needs, including greater energy efficiency, water conservation and improved life-cycle costs,” Patrick Decker, Xylem’s chief executive officer, said in a statement.

There have been other utility-related deals in the mid-market. For example, Earlier in 2016, Oracle Corp. (NYSE: ORCL) said it will buy meter data software maker Opower Inc.  and Honeywell International Inc. (NYSE: HON) bought Elster, a maker of gas, electric and water meters.

The combination expands Xylem’s capabilities in advanced analytics for the water, wastewater and outdoor-water sectors and includes metering for utilities. The companies also complement each other geographically: the U.S. accounted for 67 percent of Sensus revenue in its past fiscal year and 41 percent of sales for Rye Brook, New York-based Xylem.

Sensus, owned by investment funds affiliated with Jordan Co. and GS Capital Partners 2000 LP, provides smart meters, network technologies, and data-analytics services for the water, electric and gas industries. It has more than 80 million metering devices installed globally.

The Raleigh, North Carolina-based company generated $837 million in adjusted revenue and $159 million in adjusted earnings before interest, taxes, depreciation and amortization in the fiscal year through March 31, according to the statement. Sensus has about 3,300 employees and major locations in the U.S., the U.K., Germany, Slovakia and China.

Xylem reported $336 million in profit in 2015 on $3.65 billion in sales. It conducts business in more than 150 countries and had more than 12,500 employees worldwide.

The company plans to finance the purchase with about $400 million of non-U.S. cash, plus short- and long-term borrowing. The deal is expected to be completed in the fourth quarter and is subject to typical closing conditions, including antitrust reviews in the U.S., Germany and Austria, Xylem said. It estimated that the acquisition would add about 10 cents to 12 cents a share to adjusted profit in 2017.

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