Five additional states have entered a federal antitrust lawsuit opposing Nexstar Media Group’s $6.2 billion purchase of broadcasting competitor Tegna, following a federal judge’s decision to temporarily halt the merger’s implementation.
California Attorney General Rob Bonta announced Thursday that Massachusetts, Vermont, Indiana, Kansas, and Pennsylvania are now part of the legal challenge that his office and seven other states initially filed in March.
Federal District Judge Troy Nunley in Sacramento determined on April 17 that the state attorneys general have a strong likelihood of proving the merger will significantly reduce competition across numerous local television markets throughout the country.
While Nunley’s court order prevents Nexstar from merging its operations with Tegna during ongoing litigation, it does not reverse the completed transaction.
The acquisition received approval from both the Justice Department and Federal Communications Commission on March 19, allowing the deal to finalize rapidly. Nexstar referenced these federal approvals when announcing its intention to appeal Nunley’s ruling.
The combined entity would become America’s largest broadcast television station owner, with programming reaching 80% of households nationwide. State officials contend the consolidation will eliminate jobs, drive up cable television costs, and “significantly impact the delivery of news and other media content to Americans nationwide.”
Nexstar maintains that acquiring Tegna will enhance local broadcasting stations and boost funding for community journalism initiatives.
