Nexstar Challenges Judge’s Decision to Block $6.2B Tegna Deal and Plans to Appeal
Nexstar Media Group is committed to pursuing legal options following a federal judge’s preliminary injunction that halted its proposed $6.2 billion merger with Tegna. The injunction was issued after concerns were raised by New York Attorney General Letitia James, a key opponent of the merger.
Nexstar stated that the merger had already received all necessary regulatory approvals from the Federal Communications Commission (FCC) and the U.S. Department of Justice prior to the injunction. “This transaction closed more than four weeks ago,” the company emphasized, referring to the FCC’s previous endorsement during the Trump administration.
The merger negotiations are now on hold as an antitrust trial—initiated by DirecTV—proceeds. Until then, all plans for consolidation remain suspended.
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Despite the ruling, Nexstar does not intend to retreat. “Nexstar Media Group now owns Tegna and has taken steps consistent with the Court order that has been in effect,” the company asserted on Friday.
In response to the injunction, Nexstar outlined its case for the merger, noting its longstanding commitment to providing free over-the-air access to local news and programming. “This pro-competitive transaction will make local stations stronger and support continued investment in local journalism and fact-based news,” it stated.
Nexstar expressed its intent to appeal the preliminary injunction, looking forward to presenting its case to the Ninth Circuit Court of Appeals.
U.S. District Judge Troy Nunley’s ruling underscores that the business operations of Nexstar will not proceed as planned during this period. The extensive ruling stipulates that the local television stations formerly owned by Tegna must remain independent competitors.
Notably, the preliminary injunction does not override the temporary restraining order issued earlier, which remains in effect until April 21. The ruling highlights various requirements for maintaining separation between Nexstar’s existing operations and those of Tegna.
Attorney General Letitia James criticized the merger, stating, “Consolidating hundreds of local TV stations under one corporate owner would mean higher prices and lower quality programming for consumers.” She added that the ruling represents a significant win in their legal battle to uphold competition in local broadcasting.
The merger, if approved, would allow Nexstar and Tegna’s combined ownership to reach approximately 80% of the U.S. population, raising substantial antitrust concerns. An action from DirecTV and several cable and broadband associations, filed on March 23, challenges the FCC’s swift approval for Nexstar’s waiver from national ownership limits.
