The $61.25-a-share cash deal remains the focus for TXNM Energy as results are awaited
Key Facts
Focus on TXNM Energy is turning to its deal with Blackstone, which provides for cash consideration of $61.25 per share at closing, as investors await third-quarter 2026 results. Analyst estimates published before the results were released pointed to earnings of $1.54 per share and revenue of $649.59 million for the quarter. However, the available third-quarter results data does not include an open formal disclosure confirming the company’s results, so it is not possible to say here whether it beat those estimates. That leaves the deal and its regulatory approval process as the main points of focus for investors. The company serves about 800,000 homes and businesses in New Mexico and Texas through its regulated utilities, PNM and TNMP.
Past results show clear variation in reported earnings across periods. In the third quarter of 2025, TXNM reported diluted ongoing earnings of $1.33 per share, compared with $1.43 in the third quarter of 2024. Diluted earnings under generally accepted accounting principles were $1.22 per share in the third quarter of 2025, versus $1.45 in the same period a year earlier. In the second quarter of 2026, diluted ongoing earnings rose to $0.58 per share from $0.25 in the second quarter of 2025. Earnings under the same principles were $0.64 per share in the second quarter of 2026, compared with $0.22 a year earlier. These figures provide a basis for comparison when third-quarter results are released, but on their own they do not establish what the company earned in that quarter.
In its third-quarter 2025 results, TXNM said performance reflected the start of the first phase of approved rates in New Mexico, as well as the launch of recovery for recently approved transmission costs in Texas. On demand, Chief Executive Don Tarry said increased residential load at PNM and TNMP, including new record system peaks during the summer, underscored the need to invest in the grid to keep pace with demand growth. In Texas, the Public Utility Commission approved a TNMP rate settlement on July 30, 2026. The settlement included recovery of a $2.8 billion rate base and a 9.65% return on equity. These developments connect activity at the two regulated utilities with grid investment, cost-recovery mechanisms and approved rates.
The deal gives TXNM shareholders a defined cash payment at closing, but its completion remains subject to regulatory approvals. According to a company filing with the U.S. Securities and Exchange Commission in July 2026, the merger agreement deadline was extended to May 31, 2027, while the company said closing was expected in the first half of 2027, subject to the remaining approvals. Pending approvals include those of the U.S. Nuclear Regulatory Commission and the New Mexico Public Regulation Commission. The company said the latter commission’s procedural schedule was paused pending review of a compliance report. That pause puts New Mexico proceedings at the center of deal monitoring, alongside the other required approvals.
New Mexico regulatory filings set out upcoming dates in the acquisition application process. Staff and intervenor testimony is due on November 30, 2026, followed by final or rebuttal testimony on December 18, 2026. Public hearings are then scheduled to begin on January 19, 2027, and run through February 1, 2027, according to the commission’s filing schedule published by the company. A report published on October 29 also said evidentiary hearings related to the commission’s approval are scheduled for January 19 to February 1, 2027. These dates make the regulatory review process in early 2027 one of the main upcoming milestones for shareholders and the company.