Nexstar to acquire rival broadcast company Tegna in $6.2 billion deal

Nexstar Media has announced its acquisition of rival broadcast company Tegna for a whopping $6.2 billion, as revealed in a joint statement on Tuesday. This move further solidifies the trend of consolidation within the TV broadcast sector, which has been experiencing contraction in recent years.

If the acquisition is approved, it will bring together two major players in the U.S. television industry, expanding Nexstar’s footprint in the television and local news landscape. Currently, Nexstar operates over 200 owned and partner stations in 116 markets across the country, along with networks like The CW and NewsNation. On the other hand, Tegna owns 64 news stations spanning 51 markets.

In a statement released by both companies, they highlighted the strategic importance of this merger, stating that the combined entity will emerge as a leading local media company capable of navigating the rapidly evolving media landscape. They emphasized the importance of preserving local news and programming from trusted sources while upholding the diversity of local voices and opinions.

Nexstar, headquartered in Irving, Texas, has agreed to pay $22 in cash for each share of Tegna’s outstanding stock. The Wall Street Journal had previously reported talks of this deal earlier this month. Through this acquisition, Nexstar aims to offer advertisers a wider range of local and national broadcast and digital advertising options. Additionally, the deal will enable Nexstar to expand its presence in key markets like Atlanta, Phoenix, Seattle, and Minneapolis.

Perry Sook, the chairman and CEO of Nexstar, expressed optimism about the opportunities presented by the Trump administration’s initiatives, which could level the playing field for local broadcasters to compete more effectively with tech giants and traditional media companies.

Assuming approval from Tegna shareholders, the acquisition is expected to be finalized in the second half of 2026. This news comes at a time when more Americans are transitioning from traditional cable TV to streaming services, a trend known as “cord-cutting.” A recent Gallup poll revealed that 83% of U.S. adults now utilize streaming services, while only 36% still subscribe to cable or satellite TV.

Following the announcement, Nexstar shares surged by 7.6% in premarket trading, while Tegna’s stock saw a 4.3% increase.

Contributions to this report were made by The Associated Press.

Mary Cunningham, a reporter for CBS MoneyWatch, provided this information. Prior to her role in the business and finance sector, she gained experience at “60 Minutes,” CBSNews.com, and CBS News 24/7 as part of the CBS News Associate Program.