TXNM Energy and Blackstone Infrastructure have extended the termination date of their merger agreement to May 31, 2027, providing additional time to obtain the remaining regulatory approvals for the transaction. Under the agreement, Blackstone Infrastructure plans to acquire all outstanding common shares of TXNM Energy. Financial terms of the proposed acquisition were not disclosed in the latest announcement.
The transaction has already received approval from the Public Utility Commission of Texas, the Federal Energy Regulatory Commission and the Federal Communications Commission.
TXNM Energy shareholders overwhelmingly approved the merger in August 2025.
The proposed transaction still requires approval from the U.S. Nuclear Regulatory Commission and the New Mexico Public Regulation Commission.
The New Mexico regulatory process has been paused while TXNM Energy prepares a report demonstrating compliance with a commission order involving a 2025 stock transaction between the company and Blackstone Infrastructure.
TXNM Energy and Blackstone intend to submit the compliance report to the New Mexico Public Regulation Commission before the end of July 2026.
After the report is filed and reviewed, the parties expect the commission to establish a new procedural schedule for considering the merger.
Subject to the remaining approvals and customary closing conditions, TXNM Energy estimates that the transaction could close during the first half of 2027.
The companies said they remain committed to completing the combination and working with regulators and other stakeholders to demonstrate its anticipated benefits.
TXNM Energy believes the partnership will strengthen its ability to invest in the electric grid while maintaining reliable and affordable service for customers in New Mexico and Texas.
The Albuquerque-based energy holding company serves more than 800,000 homes and businesses through its regulated utilities, Public Service Company of New Mexico and Texas-New Mexico Power.
The proposed acquisition is intended to give TXNM Energy access to long-term infrastructure capital that can support grid modernization, clean energy projects and other utility investments.
Electric utilities require substantial capital to replace aging infrastructure, connect new generation resources and meet growing electricity demand.
Blackstone Infrastructure invests across energy, transportation, digital infrastructure, water and waste infrastructure.
The firm generally follows a long-term ownership strategy focused on large-scale assets capable of producing stable cash flow and long-term capital appreciation.
Alongside the merger extension, TXNM Energy entered into a $400 million term loan to unwind the voided 2025 stock transaction involving Blackstone Infrastructure.
TXNM Energy plans to issue common stock and use the proceeds to repay the term loan.
The financing is expected to allow the company to address the New Mexico commission’s concerns while continuing the merger approval process.
Extending the agreement gives both parties additional time to complete the regulatory review without allowing the transaction to expire under its previous deadline.
The merger remains subject to the possibility of further delays, additional regulatory conditions or an inability to secure the remaining approvals.
TXNM Energy and Blackstone Infrastructure will continue working toward a revised New Mexico procedural schedule and the completion of the Nuclear Regulatory Commission’s review.
KEY QUOTES:
“We remain committed to our proposed partnership with Blackstone Infrastructure because it is critical to TXNM Energy’s long-term ability to provide clean, affordable and reliable power to the customers we serve. We appreciate the NMPRC’s careful review of this case and look forward to further demonstrating why this partnership will strengthen the grid, support long-term investment and deliver meaningful benefits for customers and communities across New Mexico and Texas.”
Don Tarry, President and CEO of TXNM Energy
“Blackstone Infrastructure’s extension of our merger agreement is a sign of our commitment to continue to work collaboratively with stakeholders as we demonstrate the significant benefits of the proposed merger. We remain focused on supporting TXNM Energy’s future growth plans as well as New Mexico’s ambitious clean and affordable energy goals.”
Sean Klimczak, Global Head of Blackstone Infrastructure
