Blackstone Inc. is in talks to acquire TXNM Energy Inc., the owner of New Mexico’s largest utility, according to people familiar with the matter.

The infrastructure investing arm of asset manager Blackstone is in talks to buy New Mexico and Texas-focused utility TXNM Energy, a person familiar with the matter said on Monday. Conversations between Blackstone Infrastructure Partners and TXNM about structuring an agreement are ongoing,

TXNM Energy (NYSE:TXNM) rose 2.1% on a report that Blackstone (BX) is in talks to purchase the owner of New Mexico's largest utility. Blackstone Infrastructure Partners is now the most likely buyer after other potential suitors  dropped out,