ALBUQUERQUE, N.M.,
Dec. 26,
2023 /PRNewswire/ -- PNM Resources (NYSE: PNM) has
entered into an agreement to sell its 50% ownership interest in its
renewable joint venture, New Mexico Renewable Development, LLC
(NMRD) to Exus North America Holdings, LLC. PNM Resources and
American Electric Power (AEP), which also owns 50% of NMRD, have
agreed to sell the NMRD portfolio for approximately $230 million subject to true-up adjustments at
close.
PNM Resources' $115 million share
of the approximate gross proceeds will support the funding of
regulated capital investments. The sale is expected to close in
February 2024.
The NMRD portfolio includes nine operating solar developments
totaling 185 MW and six projects under development with an
estimated output of 440 MW. PNM Resources reports the earnings from
its 50% ownership as part of the Corporate and Other segment.
The sale is subject to regulatory approval by the Federal Energy
Regulatory Commission and New
Mexico regulatory approvals associated with one of NMRD's
projects. The waiting period for Hart-Scott-Rodino Antitrust
Improvements Act of 1976 has expired.
KeyBanc Capital Markets is serving as financial advisor and
Foley & Lardner LLP is serving as legal counsel to PNM
Resources and AEP.
Background:
PNM Resources (NYSE: PNM) is an energy
holding company based in Albuquerque,
N.M., with 2022 consolidated operating revenues of
$2.2 billion. Through its regulated
utilities, PNM and TNMP, PNM Resources provides electricity to more
than 800,000 homes and businesses in New
Mexico and Texas. PNM
serves its customers with a diverse mix of generation and purchased
power resources totaling 2.7 gigawatts of capacity, with a goal to
achieve 100% emissions-free energy by 2040. For more information,
visit the company's website at www.PNMResources.com.
Contacts:
|
Analysts
|
Media
|
Lisa Goodman
|
Ray Sandoval
|
(505)
241-2160
|
(505)
241-2782
|
Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995
Statements made in this news release for
PNM Resources, Inc. ("PNMR" or the "Company") that relate to future
events or expectations, projections, estimates, intentions, goals,
targets, and strategies, including the unaudited financial results
and earnings guidance, are made pursuant to the Private Securities
Litigation Reform Act of 1995. Readers are cautioned that all
forward-looking statements are based upon current expectations and
estimates and apply only as of the date of this report. PNMR
assumes no obligation to update this information. Because actual
results may differ materially from those expressed or implied by
these forward-looking statements, PNMR cautions readers not to
place undue reliance on these statements. PNMR's business,
financial condition, cash flow, and operating results are
influenced by many factors, which are often beyond their control,
that can cause actual results to differ from those expressed or
implied by the forward-looking statements. Additionally, there are
risks and uncertainties in connection with the proposed acquisition
of the Company by Avangrid, Inc. (the "Merger") which may
adversely affect the Company's business, future opportunities,
employees and common stock, including without limitation, (i) the
expected timing and likelihood of completion of the pending Merger,
including the timing, receipt and terms and conditions of any
remaining required governmental and regulatory approvals of the
pending Merger that could reduce anticipated benefits or cause the
parties to abandon the transaction, (ii) the occurrence of any
event, change or other circumstances that could give rise to the
termination of the Merger Agreement, (iii) the risk that the
parties may not be able to satisfy the conditions to the proposed
Merger in a timely manner or at all, and (iv) the risk that the
proposed transaction and its announcement could have an adverse
effect on the ability of the Company to retain and hire key
personnel and maintain relationships with its customers and
suppliers, and on its operating results and businesses generally.
For a discussion of risk factors and other important factors
affecting forward-looking statements, please see the Company's Form
10-K, Form 10-Q filings and the information included in the
Company's Forms 8-K with the Securities and Exchange Commission,
which factors are specifically incorporated by reference
herein.
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SOURCE PNM Resources, Inc.