TXNM Energy, PNM鈥檚 parent company, files $11.5 billion Blackstone acquisition with state regulators
鈥擧annah Garcia,
The parent company of Public Service Company of New Mexico and the private equity firm seeking to acquire it filed their acquisition plan with state regulators on Monday, a move that could dramatically reshape New Mexico鈥檚 energy sector.
The proposed $11.5 billion sale by TXNM Energy Inc. to Troy ParentCo LLC, a subsidiary of Blackstone Infrastructure, comes just three months after the two companies announced the deal. And it comes nearly five years after Avangrid and TXNM, then called PNM Resources Inc., said they would merge 鈥� a proposal that ultimately failed to materialize after the state Public Regulation Commission shot down the deal.
鈥淭he benefits in this filing are unprecedented and underscore Blackstone Infrastructure鈥檚 commitment to PNM and New Mexico,鈥� said Don Tarry, president and CEO of TXNM, in a statement. 鈥淭he energy landscape is changing, and New Mexico is at a critical point in time.鈥�
Should the acquisition be successful, there would be 鈥渄irect and immediate鈥� benefits for PNM customers, officials said in a news release. That includes a $105 million rate credit over four years 鈥� which they said will lower the average residential customer bill by 3.5% 鈥� exceeding Avangrid鈥檚 offer of $67 million over three years during the previous proposed merger.
Monique Jacobson, TXNM senior vice president of corporate services, told the Journal that the influx of funding from the proposed Blackstone deal will allow its utilities, namely PNM, to lower customer pay rates as soon as regulators approve the sale. But, she said, that doesn鈥檛 鈥渉ave a direct impact on what future rate cases may need to happen.鈥�
鈥淚f and when this acquisition goes through, the existing rate process will remain in place,鈥� Jacobson said.
The latest filing, if approved, would see Blackstone take one of New Mexico鈥檚 only publicly traded companies private. PNM, the largest electricity provider in New Mexico, serves roughly 550,000 customers.
Company officials filed the case with the state PRC and the Public Utility Commission of Texas on Monday morning. They are also expected to file with the Federal Energy Regulatory Commission on Monday as well.
The sale will also require approval from the Federal Communications Commission, the Nuclear Regulatory Commission and the Department of Justice, TXNM officials said. The companies plan to close the transaction in the second half of 2026, though first they will have to overcome local opposition, while also running the regulatory gauntlet.
Shares of TXNM closed at $56.76 on Monday, up 0.05% on the day and 16.2% year to date.
Details of the deal
The companies in announcing the sale filing said Blackstone, upon taking control of TXNM, would invest $25 million into innovative or emerging technologies that support New Mexico鈥檚 Energy Transition Act. Officials also said $35 million would go toward economic development and building the necessary workforce.
PNM鈥檚 Good Neighbor Fund, which helps low-income customers with electricity costs, would receive $10 million over 10 years.
TXNM subsidiaries, including PNM and Texas-New Mexico Power Co., a utility serving certain regions across Texas, would remain locally managed and operated. Jobs, wages, benefits and union contracts are protected under the acquisition, officials said. They said Blackstone, if it acquires TXNM, would hold it 鈥渇or a minimum of 10 years.鈥�
鈥淲e鈥檝e been talking with various parties and leaders across New Mexico to share our intentions for this proposed investment, and today鈥檚 filing backs up these conversations with real commitments that exceed any amounts delivered in state history,鈥� said Sean Klimczak, global head of Blackstone Infrastructure, in a statement.
Blackstone, which bills itself as 鈥渢he world鈥檚 largest alternative asset manager,鈥� or private equity firm, manages more than $1.2 trillion in assets. And its infrastructure arm, which would be acquiring TXNM, manages around $60 billion in assets and could provide long-term financial support, according to the filing.
Blackstone has the ability to raise and invest capital needed for customers, clean energy transitions, modernizing the grid, building new transmission and supporting economic development, officials said.
Announced in May, TXNM and Blackstone entered an agreement that would see the latter take over the New Mexico-based company in a deal that would close at $61.25 per share in cash, including net debt and preferred stock.
Securities and Exchange Commission filings show that TXNM鈥檚 board of directors decided over an eight-month period that a takeover by Blackstone was in the best interest of shareholders and other stakeholders, including customers and the 鈥渃ommunities it serves.鈥�
鈥淭his acquisition is important for us to thrive in this time of transformation in the energy landscape,鈥� Jacobson said. 鈥淚t allows us to continue to serve our customers with safe, reliable energy by having better access to capital.鈥�
A PRC spokesperson said state regulators typically take nine to 13 months from the filing date to decide on such an acquisition.
Potential hitches
New Energy Economy, the sole intervenor that opposed the Avangrid merger, announced Monday that it would intervene, once again in opposition, to the Blackstone acquisition.
The organization claims that the transaction fails the state鈥檚 six-factor public-interest test and poses risks to New Mexico families, workers and the environment.
Mariel Nanasi, NEE executive director, compared Blackstone鈥檚 鈥減articipation in this acquisition鈥� to that of the mythological Trojan horse the Greeks used to take the city of Troy.
鈥淛ust like in the myth, Blackstone wants us to feel like there is divine intervention in the works, but there is nothing natural or inevitable about this acquisition,鈥� she said. 鈥淗ere, Blackstone is offering a Trojan horse to ratepayers, a deceptive gift, one that will ultimately dominate and destroy us if we allow them to enter New Mexico.鈥�
NEE opposed the failed Avangrid merger, announced in 2020, that would have seen the Connecticut-based company take control of PNM in a $4.3 billion deal.
While the majority of intervenors in that merger case either supported or didn鈥檛 oppose the deal, a PRC hearing examiner ultimately recommended to commissioners in November 2021 that the potential harms of such a deal outweighed the benefits.
That proposed merger eventually led Avangrid and PNM officials to appeal the PRC鈥檚 rejection in the New Mexico Supreme Court in 2022. In 2023, with a new three-member commission, the two companies filed a joint motion to dismiss their appeal in the hopes it would go back to the PRC again. Avangrid ultimately decided last year to dissolve the merger agreement.
But TXNM officials are saying that this go-around is different from the last.
For instance, the day after TXNM and Blackstone announced the proposed acquisition, TXNM 鈥渋mmediately鈥� began stakeholder outreach to hear what mattered most to them, Jacobson said.
TXNM officials also changed their approach in terms of what kind of company they wanted to be acquired by, she said, where Blackstone is considered a 鈥渇inancial backing鈥� type and Avangrid was a 鈥渟trategic partner.鈥�
鈥淲e really felt like the right way to go for our state was with this financial backing type of acquisition. 鈥� PNM, really for all intents and purposes, won鈥檛 change other than having greater financial backing,鈥� Jacobson said.
New reports on Native American housing in Albuquerque show disparities - 九色网 News
Only 28% of Native American residents in Albuquerque can pay $1500 or more per month to buy a home. Native communities in Albuquerque also face more home loan denials as white communities.
That was the finding of released by the city of Albuquerque. officials with the Office of Native American Affairs. It鈥檚 the result of a three-year study that included focus groups of 660 community members.
Officials say there has been a critical gap in housing data for Native residents since 2022 and that gap has caused problems in knowing the full extent of needs that need to be addressed.
The city of Albuquerque said in a news release that it鈥檚 committed to equitable and culturally informed housing solutions for Native residents by addressing housing insecurity and expanding homeownership.
The report authors hope to highlight the disparities Native residents have been facing as well as open a discussion about community solutions that include culture knowledge.
Community members highlighted that meeting housing needs requires more than houses, but also the inclusion of Indigenous values in building of their homes.
In State of the City address, Keller touches on crime, housing and the future of Albuquerque's economy - by Matthew Reisen,
Albuquerque Mayor Tim Keller on Saturday touted the city鈥檚 milestones under his administration and charted a path forward 鈥� should he be elected to a third term in November.
During the annual State of the City address, Keller said Albuquerque had made progress in housing the homeless and drilling down on crime. With thousands more people living on the streets than in shelters and a historically stubborn violent crime rate, he acknowledged the long road ahead.
鈥淒on鈥檛 get me wrong, I see what you see, challenges seemingly all around us: addiction-driven crime and homelessness, families worried about rent, guns in our schools, and parents targeted by (Immigration and Customs Enforcement),鈥� Keller said to open his speech. 鈥淚f there were easy solutions to these long-term problems, I promise you, I would have fixed them in a heartbeat... It takes lots of hard work, but now, alongside those challenges, are signs of progress and of resilience, and they remind us 鈥� we can lift up Albuquerque.鈥�
Hundreds gathered in front of the Botanic Garden amphitheater 鈥� framed by a large pond covered with water lilies and buzzed by dragonflies 鈥� to listen to Keller鈥檚 half-hour speech. Unlike the 2024 address, when several people disrupted the speech in various forms of protest, Saturday鈥檚 went largely uninterrupted.
THE PAST
Keller began with the progress made over his two terms in crime and housing, arguably the city鈥檚 biggest issues and repeated focal points for residents in polls.
鈥淩eal change takes time,鈥� he said. 鈥淚t鈥檚 not like just flipping a switch or just trying something new.鈥�
Data provided by the Albuquerque Police Department showed that in 2024 violent crime rose by less than a percentage point, while property crime and crimes against society 鈥� like gun and drug offenses 鈥� dropped by 2% and 4%, respectively.
He attributed the crime-fighting success to using technology such as license plate readers, increasing the number of APD civilian roles to free up officers and building up the Albuquerque Community Safety Department, which has rerouted more than 100,000 calls from APD.
鈥淣ow, when you put this together, the results show this 鈥� for the first time in 10 years, every crime category is finally going down. We鈥檝e just got to keep going,鈥� Keller said.
Much like with crime, the mayor said there is a long way to go toward addressing housing and homelessness.
According to annual point-in-time counts, the number of people living in shelters or on the streets rose from 1,311 in 2022 to 2,740 by 2024. Keller said the real number is likely above 4,000.
He said the Gateway System, a network of shelters and resources spread across the city, was keeping up to 1,000 people off the streets every day. He said, with City Council help, he wants to bolster that to an additional 1,000 unhoused people.
Keller said the homelessness problem was amplified in recent years by a shortage of 20,000 homes across the city.
鈥淯nlike most major cities,鈥� he said, 鈥淎lbuquerque simply never took on this problem directly. Now that鈥檚 all changing.鈥�
THE PRESENT
Keller said the city has built 2,500 affordable homes, and he laid out plans to further boost supply while reducing sprawl.
He said his Housing Now ABQ initiative will modernize zoning codes to allow developments like casitas on underutilized property, strengthen renters鈥� rights and streamline permitting to use city-owned land for development.
鈥淭his means from young adults starting out to families building a life to seniors aging in place, Albuquerque needs more homes now,鈥� Keller said.
Aiming to increase affordability at a time when concerns about tariffs and inflation abound, Keller said his administration would be 鈥渇reezing fees citywide.鈥� He added that his staff 鈥渄idn鈥檛 know I was going to say that,鈥� but that they were going to work to make everything free 鈥� from preschool and zoo trips to restaurant permits and swimming lessons.
The mayor also detailed plans to cultivate community engagement in neighborhoods and keep youths out of trouble, with juvenile crime on the rise, according to local law enforcement.
Keller said they would expand the student-based violence intervention program 鈥� which pairs students with criminal records with formerly incarcerated mentors 鈥� to every high school in the city.
鈥淲e鈥檝e got to double down to reduce teen violence,鈥� he said, adding that participants have gotten better grades and into less trouble.
THE FUTURE
To roll out his vision for Albuquerque鈥檚 future, Keller said, 鈥淭he next game changer is upon us.鈥�
The mayor said he wanted to make Albuquerque 鈥渁 global leader in quantum computing,鈥� believing it will soon drive burgeoning industries like artificial intelligence, health care, the economy and national security.
鈥淚t will decide the next era of innovation for our entire country,鈥� Keller said.
The mayor said he wanted to put the city front and center of the technology, as it was for nuclear energy following World War II.
Keller proposed that if the city were able to cement its place as the quantum jumping-off point, it could benefit every aspect of his mission: increase economic stability, housing and job opportunities, and the next big wave to ride.
鈥淚t鈥檚 not always easy to recognize when you鈥檙e in the middle of a turnaround that it鈥檚 actually happening,鈥� he said. 鈥淏ut the signs of resurgence are in plain sight... For the first time in a long time, we are seeing what is working. And now is no time to abandon the progress that we鈥檝e made.鈥�
New taxes or fees needed for billions in unfunded road projects, NMDOT says - Austin Fisher,
New Mexico residents pay thousands of dollars each year because of the state鈥檚 crumbling road infrastructure, state transportation officials told lawmakers Friday.
With the number of acceptable roads declining and the cost of fixing them outstripping funds, the state transportation secretary says New Mexico may need to raise existing taxes or create new ones to fund road projects.
Presently, the state has $5.6 billion worth of needed but unfunded transportation projects, according to the state Department of Transportation鈥檚 to the Transportation Infrastructure Revenue Subcommittee at its meeting in Silver City.
The percentage of New Mexico roads in acceptable condition dropped from 75% in 2011 to 69% in 2023, the presentation states.
Deteriorating roads result in drivers paying an average of $2,074 annually, for vehicle maintenance, congestion and safety costs, according to the data. That figure is even higher in the Santa Fe, Albuquerque and Las Cruces areas.
To pay for the $5.6 billion in unfunded projects, New Mexico will likely need some combination of changing the way the state distributes its tax on vehicle sales; increasing existing taxes and fees; or creating new ones, such as delivery surcharges or road user charges, Transportation Secretary Ricky Serna told the committee.
DOT doesn鈥檛 receive recurring funding from the Legislature, Serna said, and when lawmakers do give the agency money, it comes with a three-year deadline attached, which, if not met, can be clawed back and used for other purposes.
The agency tried to address these problems with a piece of in this year鈥檚 session that would have raised the state鈥檚 weight-distance tax on commercial traffic and vehicle registration fees, and created a new electric vehicle surcharge, Serna said. The state House of Representatives unanimously approved that bill, but it died in the Senate in the session鈥檚 final week.
Another way the state could generate revenue would be to raise its 17-cent per gallon gasoline tax, Serna said. A one-cent increase would generate approximately $6.6 million in annual revenue, DOT Chief Economist Michael Morrison told the committee. Lawmakers haven鈥檛 changed the tax since 1996 when they lowered it from 20 cents per gallon, Morrison said.
Sen. Antonio 鈥淢oe鈥� Maestas (D-Albuquerque) suggested that it would be cheaper for drivers to pay more per gallon of fuel rather than for the expenses resulting from deteriorating roads like new tires, for example.
鈥淚t鈥檚 just been, in my opinion, a failure of government not to incrementally and reasonably increase the gas tax over the last 30 years,鈥� Maestas said.