PNM Resources, Avangrid file appeal with New Mexico Supreme Court on merger rejection
PNM Resources and Avangrid have amended their merger agreement to extend the end date to April 20, 2023.
Further, the companies have filed an appeal with the New Mexico Supreme Court on an order by the New Mexico Public Regulation Commission (NMPRC) to reject the merger.
The merger had received approval in 2021 from five federal agencies and the Public Utility Commission of Texas. The final hurdle was getting approval from the NMPRC. But the NMPRC voted in December 2021 to reject a stipulated agreement providing more than $300 million in benefits to New Mexico customers and communities and implementing safeguards to ensure continued local control of utility operations and reliable service to customers.
The stipulated agreement was supported by several parties, including the NM Attorney General, the International Brotherhood of Electrical Workers Local 611, environmental advocates, and organizations representing tribal interests. Overall, 23 of the 24 intervening parties supported or did not oppose the agreement.
“Our appeal to the New Mexico Supreme Court preserves the benefits to customers and communities negotiated in our stipulated agreement with parties, which are unprecedented for this type of transaction,” Pat Vincent-Collawn, PNM Resources’ chairman, president and CEO, said. “We will continue to prioritize our customers, communities, and employees and move forward, irrespective of the pending merger, to execute our business plans and invest in infrastructure and systems to meet customers’ needs, support our communities and advance the transition to clean energy in New Mexico.”
Following the filing to appeal, the companies have 30 days to file a Statement of Issues outlining the argument for appeal.
PNM Resources is an energy holding company based in Albuquerque, N.M., that provides electricity to approximately 800,000 homes and businesses in New Mexico and Texas.
