Texas regulators have reached a settlement with Avangrid in its $4.3 billion acquisition of PNM Resources, parent company of Texas-New Mexico Power.

Attorneys for Avangrid told a Texas administrative law judge on March 19 that all parties in the case had reached a unanimous agreement in principle and that a stipulation with revised regulatory commitments was being circulated (51547).

The Texas Public Utility Commission on Monday cancelled a hearing on the acquisition scheduled for later this week. The parties have until the close of business on March 30 to file documents related to the agreement.

The Office of Public Utility Counsel, Texas Industrial Energy Consumers, Cities Served by Texas-New Mexico Power, Alliance for Retail Markets, Texas Energy Association for Marketers and Walmart are among the organizations and entities that have intervened in the proceeding.

Avangrid announced the acquisition in October. Its parent company, Spanish energy giant Iberdrola, says the merged company would have assets worth $40 billion and generate around $2.5 billion in earnings and a net profit of $850 million. (See Avangrid to Acquire PNM Resources for $4.3B.)

The deal must be approved by the New Mexico Public Regulation Commission, FERC, the Nuclear Regulatory Commission and the Federal Communications Commission. It has been cleared under the Hart-Scott-Rodino Act and the Committee on Foreign Investment in the United States.

PNM Resources shareholders approved the merger in February, with 93% favoring the acquisition.