TNMP Parent To Merge With AVANGRID Companies
Texas-New Mexico Power's parent company, PNM Resources, on Wednesday announced with AVANGRID that they have entered into a definitive agreement under which AVANGRID will acquire PNM Resources, including TNMP.
The agreement has been unanimously approved by both companies' boards of directors.
Highlights of the transaction
- Competitive retail electric providers and 255,000 consumers served by TNMP will continue to count on us to provide safe and reliable electric service and continued support of the deregulated market.
- TNMP will remain a fully regulated transmission and distribution utility within ERCOT.
- We intend to provide rate benefits to the market, if approved by regulators.
- TNMP will remain committed to maintaining a local presence in each of its territories and supporting growth of local economies.
- AVANGRID recognizes the value that local management's knowledge and expertise bring to serving the communities in which its businesses operate.
- No intent to reduce TNMP employee headcount in connection with the transaction; headquarters and management will stay in Texas.
- We will be in a position to tap into AVANGRID's advanced technologies and infrastructure to support customers and enhance customer experience.
- The combined entity will maintain TNMP's historical charitable contribution levels through PNM Resources' various existing programs.
AVANGRID's energy business includes being the third-largest wind power operator in the United States, including projects in Texas.
The combination creates a larger, more diversified regulated utility and renewable energy company with electric and gas utilities in complementary geographies. Regulated utility operations expand under the transaction and provide increased operational and regulatory diversification, serving more than 4 million electric and natural gas customers of 10 regulated utilities across New York, Connecticut, Maine, Massachusetts, New Mexico, and Texas. These combined operations are supported by $14 billion of rate base, including more than 104,000 miles of electric transmission and distribution lines. The transaction is subject to PNM Resources shareholder approval, regulatory approvals from multiple federal and state regulatory bodies, including the Public Utility Commission of Texas, and other customary closing conditions.
TNMP is a transmission and distribution service provider that delivers power to about 255,000 homes and businesses on behalf of retail electric providers in Texas. More information is available at tnmp.com/about-us.
PNM Resources (NYSE: PNM) is an energy holding company based in Albuquerque, N.M., with 2019 consolidated operating revenues of $1.5 billion. Through its regulated utilities, PNM and TNMP, PNM Resources has approximately 2,811 megawatts of generation capacity and provides electricity to approximately 790,000 homes and businesses in New Mexico and Texas. For more information, visit the company's website at www.PNMResources.com.
Avangrid, Inc. is a leading, sustainable energy company with approximately $35 billion in assets and operations in 24 U.S. states. With headquarters in Orange, Connecticut, Avangrid has two primary lines of business: Avangrid Networks and Avangrid Renewables. Avangrid Networks owns eight electric and natural gas utilities, serving more than 3.3 million customers in New York and New England. Avangrid Renewables owns and operates a portfolio of renewable energy generation facilities across the United States.