On December 15, 2025, Texas‑New Mexico Power Company (TNMP), the Texas arm of TXNM Energy, and Blackstone Infrastructure reached a settlement with the Public Utility Commission of Texas (PUCT). The agreement cancelled the PUCT hearings that had been scheduled for that day and granted the commission’s approval for Blackstone’s $11.5 billion purchase of TXNM Energy’s outstanding common stock. The settlement was endorsed by key stakeholders, including the Texas Industrial Energy Consumers, the Office of Public Utility Counsel, the cities served by TNMP, Walmart Inc., and the Texas Energy Association for Marketers, and was not opposed by Valero Refining‑Texas L.P. The approval removes the last regulatory obstacle in a transaction that is expected to close in the second half of 2026.
Blackstone’s offer values TXNM Energy at $61.25 per share, a premium that reflects the company’s regulated utility assets and its growth prospects in Texas and New Mexico. The acquisition will provide TXNM with a substantial capital infusion that can be deployed across its grid modernization and clean‑energy expansion plans. The deal’s $11.5 billion enterprise value underscores Blackstone’s confidence in the long‑term, regulated returns that TXNM’s utilities generate.
As part of the settlement, TNMP customers will receive a $45.5 million rate credit spread over 48 months. The credit is designed to offset any short‑term rate increases that might arise from the ownership change, ensuring that consumers continue to benefit from stable, regulated rates while the company invests in infrastructure upgrades.
The $8.6 billion capital plan that TXNM has outlined for 2025‑2029 focuses on grid modernization, renewable integration, and customer‑centric services. Blackstone’s capital will accelerate these initiatives, allowing the company to deploy advanced grid technologies, expand renewable generation, and enhance customer experience without compromising financial stability. The partnership signals a commitment to long‑term, sustainable growth in a sector that is increasingly focused on decarbonization.
Regulatory approval from the PUCT is a critical milestone, but TXNM still requires clearance from the New Mexico Public Regulation Commission, the Federal Energy Regulatory Commission, and other federal agencies such as the Department of Justice and the Nuclear Regulatory Commission. The settlement demonstrates that Texas regulators are satisfied with the transaction’s structure, which bodes well for the remaining approvals. The coordinated approach across multiple jurisdictions reflects the complexity of utility acquisitions and the importance of comprehensive stakeholder engagement.
Investors have welcomed the regulatory clearance, viewing it as a confirmation of Blackstone’s strategic fit and the robustness of TXNM’s business model. The approval reinforces confidence that the acquisition will deliver value through enhanced capital resources, accelerated grid upgrades, and continued service reliability for customers across Texas and New Mexico. The partnership positions TXNM to capitalize on the growing demand for clean energy and grid resilience while maintaining its regulated utility framework.
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