PNM Resources, Inc. Stock Price, News & Analysis

AVANGRID, Inc. (NYSE: AGR) announced an extension of the merger agreement with PNM Resources (NYSE: PNM) to April 20, 2023, amidst an appeal of the New Mexico Supreme Court's order that rejected the merger. The partnership aims to enhance New Mexico's clean energy initiatives. The merger, already endorsed by several federal agencies, promises over $300 million in community benefits, while ensuring local control of utility operations. The companies are committed to continue collaboration during the appeal process, with provisions for termination under specific conditions.

PNM Resources (NYSE: PNM) and Avangrid, Inc. have amended their merger agreement, extending the end date to April 20, 2023. The companies have also filed an appeal with the New Mexico Supreme Court against the NM Public Regulation Commission's December 2021 rejection of their merger agreement, which proposed over $300 million in benefits to New Mexico customers. The merger has already received approvals from several federal agencies and the Texas Public Utility Commission. A financial update is scheduled for February 3, 2022, to discuss preliminary results and ongoing guidance.

PNM filed an appeal with the New Mexico Supreme Court against the NMPRC's decision to deny its plan to abandon, sell, and securitize its minority interest in the Four Corners Power Plant. This application aligns with New Mexico’s Energy Transition Act, aimed at promoting clean energy while safeguarding customer interests. PNM's proposal, which includes eliminating coal from its portfolio by 2024 and reducing emissions by up to 25%, could yield customer savings of up to $300 million. A Statement of Issues must be filed within 30 days of the appeal.

On December 15, 2021, the New Mexico Public Regulation Commission (NMPRC) voted unanimously to deny Public Service Company of New Mexico's (PNM) application to abandon and securitize its minority interest in the Four Corners Power Plant. This decision follows PNM's initial filing in January 2021 and subsequent amendments. The rejection could prevent PNM from transitioning away from coal by the end of 2024, potentially costing customers up to $300 million in savings and reducing carbon emissions. PNM's management expressed disappointment, emphasizing compliance with federal standards and shareholder commitments.

Public Service Company of New Mexico (PNM), a subsidiary of PNM Resources, has finalized the acquisition of the Western Spirit transmission line. This $285 million investment aims to enhance the transmission system and support the development of 800 megawatts of new wind energy in eastern New Mexico. The project, approved by the Federal Energy Regulatory Commission, is expected to have no impact on existing customer rates. The acquisition positions PNM to advance renewable energy initiatives and aligns with New Mexico's goals for economic growth through clean energy.

The New Mexico Public Regulation Commission (NMPRC) has unanimously rejected the merger agreement between PNM Resources (NYSE: PNM) and AVANGRID, Inc., following a vote of 5-0. This decision comes after a previous denial of a request for oral arguments on the matter. CEO Pat Vincent-Collawn expressed disappointment but emphasized their focus on customer service and shareholder value. With five federal agencies previously approving the merger, the NMPRC's rejection leaves a critical hurdle for the transaction, initially filed in November 2020.

The Board of Directors of Public Service Company of New Mexico, a subsidiary of PNM Resources (NYSE: PNM), declared a quarterly preferred stock dividend of $1.145 per share. This 4.58% cumulative preferred stock dividend is payable on January 14, 2022 to shareholders of record by the close of business on December 27, 2021. PNM Resources operates with 2020 consolidated revenues of $1.5 billion, providing electricity to approximately 800,000 homes and businesses in New Mexico and Texas, with a commitment to achieving 100% emissions-free energy by 2040.

On December 2, 2021, PNM Resources (NYSE: PNM) and AVANGRID (NYSE: AGR) held a news conference to address concerns regarding their proposed merger. Key stakeholders, including various New Mexico organizations, expressed strong support for the merger, highlighting anticipated benefits such as $94 million in customer advantages and a $300 million economic impact. PNM's CEO emphasized the merger's role in achieving renewable energy goals, while AVANGRID executives stressed their commitment to ethical management and local governance. The New Mexico Attorney General called the merger a historic opportunity for the state.

The New Mexico Public Regulation Commission (NMPRC) has commenced discussions on the merger application between PNM Resources (NYSE: PNM) and AVANGRID, Inc. During the meeting, a Hearing Examiner's recommendation was presented, but criticisms arose regarding the incomplete representation of merger benefits. Pat Vincent-Collawn, PNM's CEO, expressed disappointment and emphasized the importance of a balanced review. The Commission intends to address additional filings related to the merger in future meetings, aiming to ensure the transaction's potential benefits for New Mexicans are duly considered.