A proposed deal would support nearly $5 billion in New Mexico grid work

TXNM Energy (NYSE: TXNM) and Blackstone Infrastructure proposed a revised merger application with a $300M customer and community benefits package. The plan includes $220M in rate credits, $40M for workforce development, and a $5B grid investment commitment. The deal requires regulatory approval.

TXNM Energy and Blackstone Infrastructure filed a motion to revise their merger application, proposing $300M in customer and community benefits, including $220M in rate credits and expanded programs in New Mexico.

TXNM Energy (NYSE:TXNM) priced a $400M equity offering at $56.50 per share, expecting $396M net proceeds to repay a $400M term loan. The move reduces interest expense by ~$19.8M annually. The offering, part of the original merger plan with Blackstone, dilutes shares by ~6.9%. The Blackstone acquisition, expected in 2027, remains at $61.25 per share. If delayed, the dilution may impact earnings and dividends.

TXNM Energy (TXNM) completed a $400 million follow-on equity offering, issuing 7.08 million shares at $56.50 each. The company's P/E ratio of 32.6x is higher than peers, and its share price has seen modest gains. Analysts debate its valuation, with DCF models suggesting overvaluation. Regulatory risks and dilution are noted concerns.

TXNM Energy (NYSE: TXNM) priced a public offering of 7,079,646 common shares at $56.50 each, raising approximately $400 million. Proceeds will repay a term loan. Closing is expected September 2, 2026, subject to conditions. Wells Fargo Securities is the book-running manager.

A Blackstone Infrastructure affiliate and TXNM Energy Inc., the parent of PNM, faced a New Mexico PRC ruling that a $400 million stock transaction was illegal because it lacked prior approval. The firms were ordered to undo the sale. Filings say Blackstone repaid $13.3M in dividends on Aug. 7 after consultation, and the merger timeline was extended to mid-2027.