Utility merger scrapped in New Mexico

FILE - The exterior of Spanish energy company Iberdrola is seen, Dec. 29, 2012, in Madrid, Spain. Officials with New Mexico’s largest electric utility said Tuesday, Jan. 2, 2024, that a proposed multibillion-dollar merger with a U.S. subsidiary of global energy giant Iberdrola has ended. (AP Photo/Andres Kudacki, File)

 

A proposed merger worth $4.3 billion in which Public Service Co. of New Mexico and Texas New Mexico Power would be owned by Avangrid of Connecticut was scrapped on Tuesday.

Avangrid backed out of the deal to acquire PNM Resources and its two utilities, disappoiting PNM president and CEO Pat Vincent-Collawn.

“We are greatly disappointed with Avangrid’s decision to terminate the merger agreement and its proposed benefits to our customers and communities.”

Avangrid is a U.S. subsidiary of energy giant Iberdrola.

Originally created in 2020, the deal did not meet the approval of New Mexico regulators and the matter went before the New Mexico Supreme Court, reported the Associated Press.

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