TXNM Energy Opens Q1 2026 Convertible Notes Window

TXNM Energy ( (TXNM) ) has shared an announcement.

TXNM Energy has notified holders of its 5.75% Junior Subordinated Convertible Notes due 2054 that the notes will be convertible, at the holders’ option, during the first quarter 2026 conversion window from January 1 to March 31, 2026, at a rate equivalent to a conversion price of about $44.40 per share. Investors who elect to convert in that period will receive a mix of a new series of 5.75% non-convertible junior subordinated notes due 2054 equal to the principal amount converted, plus any excess conversion value in TXNM Energy common stock (and cash in lieu of fractional shares), meaning they will effectively exchange into less liquid 5.75% non-convertible notes that are expected to trade at a discount compared with more recently issued higher‑coupon junior subordinated debt. The company also reiterated that, under its previously announced May 18, 2025 merger agreement with an affiliate of Blackstone Infrastructure Partners, consummation of the merger would trigger a make‑whole fundamental change on the convertible notes, granting holders a separate right to convert into an all‑cash consideration based on the merger share price for a limited period after the effective date, although completion of the transaction remains contingent on regulatory and other customary approvals.

The most recent analyst rating on (TXNM) stock is a Hold with a $60.00 price target. To see the full list of analyst forecasts on TXNM Energy stock, see the TXNM Stock Forecast page.

Spark’s Take on TXNM Stock

According to Spark, TipRanks’ AI Analyst, TXNM is a Neutral.

TXNM Energy’s overall stock score reflects solid financial performance with strong revenue growth and improved debt management. However, challenges such as declining net profit margins, negative free cash flow, and a high P/E ratio weigh on the score. The technical indicators suggest a positive trend, but the overbought condition indicates caution. The absence of recent earnings call insights or notable corporate events means these factors do not influence the score.

To see Spark’s full report on TXNM stock, click here.

More about TXNM Energy

TXNM Energy, Inc. operates in the energy and utilities sector and is the subject of a planned merger under which it would become a wholly owned subsidiary of Troy ParentCo, LLC, an affiliate of Blackstone Infrastructure Partners, with each outstanding share of its common stock expected to be converted into a fixed cash amount at closing, subject to regulatory approvals and customary conditions.

Average Trading Volume: 807,726

Technical Sentiment Signal: Buy

Current Market Cap: $6.41B

For detailed information about TXNM stock, go to TipRanks’ Stock Analysis page.