Blackstone's $11.5B TXNM Energy Acquisition Nears Final Approval

Blackstone Infrastructure has agreed to acquire TXNM Energy for nearly $11.5 billion in cash, including debt. The acquisition is expected to finalize in the second half of 2023, pending final regulatory approvals. Both companies have described the move as a major step in the energy sector.

TXNM Energy, now operating as PNM Resources, expanded significantly before the acquisition. Over the past five years, it grew its customer base from 500,000 to over 800,000. Investments in renewable energy, particularly solar, increased capacity by 50%, while EBITDA margins improved from 25% to 32% despite regulatory hurdles.

The Federal Energy Regulatory Commission (FERC) has already approved the transaction, stating it aligns with public interest. No opposition has emerged from antitrust officials, as the mandatory waiting period under the Hart-Scott-Rodino Act expired without objections.

However, the acquisition still needs clearance from two key bodies: the Nuclear Regulatory Commission and the New Mexico Public Regulation Commission. TXNM Energy had sought multiple state and federal approvals, ensuring compliance before moving forward.

The acquisition marks one of the largest energy sector deals in recent years. Once completed, Blackstone Infrastructure will take control of a company that has steadily grown its market share and renewable energy output. Final approvals are now the only remaining step before the transaction concludes.