trending Market Intelligence /marketintelligence/en/news-insights/trending/y2e6k6yhu8jwrcn_sx2vdw2 content esgSubNav
In This List

PNM receives prepayment of $50.6M from Westmoreland to settle $125M loan

Podcast

Next in Tech | Episode 49: Carbon reduction in cloud

Blog

Using ESG Analysis to Support a Sustainable Future

Research

US utility commissioners: Who they are and how they impact regulation

Blog

Q&A: Datacenters: Energy Hogs or Sustainability Helpers?


PNM receives prepayment of $50.6M from Westmoreland to settle $125M loan

PNM Resources Inc. subsidiary NM Capital Utility Corp. received a prepayment of $50.6 million from Westmoreland San Juan, LLC, of which it used $43.1 million to settle all remaining principal and interest loan owed under a $125 million term loan agreement with MUFG Bank Ltd.

NM Capital Utility will use the the remaining $7.5 million for general corporate purposes. NM Capital Utility previously provided a $125 million funding to Westmoreland San Juan, a ring-fenced, bankruptcy-remote, special-purpose subsidiary of Westmoreland Coal Co.

The payments of all outstanding amounts under the loans fulfill the obligations of both NM Capital Utility and Westmoreland San Juan under their respective loan agreements. As a result, the parties effectively terminated the loan agreements, according to the Form 8-K filed May 23.

PNM Resources also terminated the guaranty agreement that it entered into with MUFG to guarantee the obligations of NM Capital under its loan with the bank.