Media

US TV, Nexstar to acquire rival Tegna for $6.2 billion

The transaction is a test case for consolidation in the US TV market. Completion expected in 2026

19 August 2025

2' min read

A $6.2 billion deal. Which, if it goes through, would represent a real big bang for the TV sector in the US, giving important indications first and foremost as to the possibility of pushing market consolidation.

Nexstar Media Group - the largest regional TV operator in the US - has decided to swallow Tegna, taking home 64 new TV stations. A deal, as mentioned, that promises to reshape the US media map and comes in a context where local TV station operators, facing declining revenues due to declining TV subscribers, are trying to cut costs through mergers

Nexstar's lunge on Tegna - announced today 19 August 2025 - has the hallmarks of a bet. The acquiring company will pay $22 per share for Tegna, in a deal, as mentioned, worth $6.2 billion, including $3.5 billion in cash (excluding debt and commissions). The offer is 30% higher than the 30-day average closing price of Tegna shares on 8 August.

On its own Nexstar controls more than 200 broadcasters; with Tegna it will rise to 265, reaching, in 44 states and the District of Columbia, 80% of American homes and positioning itself as a reference for local news. Numbers that far exceed the current ceiling of 39% set by the FCC (Federal Communications Commission). But that ceiling may soon be raised again. Brendan Carr, President of the Commission appointed by Trump, has already described the current rules as 'obscure' and has made no secret of his intention to relax them. All this even if the approach to the operation that led Skydance to buy Paramount was different (but here, obviously, politics comes into play with the clash between President Donald Trump and the broadcaster Cbs, of the Paramount galaxy).

"Our initiatives aim to level the playing field and compete on an equal footing with Big Tech and the traditional media giants," claimed Perry Sook, CEO of Nexstar. Translated: without further concentration, more traditional television risks losing the last battle, the one with streaming and global platforms. The company said it expects annual synergies of USD 300 million downstream of the deal.

The parabola of the industry is, after all, well known: declining ratings, fleeing subscriptions, advertising revenue nibbled away by Google, Meta and Netflix.

The Nexstar-Tegna marriage, however, is not a foregone conclusion. Back in February 2022, Tegna was about to be acquired by Standard General LP in a $5.4 billion deal, which failed due to regulatory constraints. These are a knot, as are lawsuits to be prevented and even competing bids: Sinclair had sniffed out the deal and, according to rumours relaunched by the Wsj, had come forward with a bid. It is no coincidence that the lawyers have provided for ironclad clauses, such as a $120 million penalty if Tegna decides to marry another suitor.

If all goes smoothly, the new giant will be born by the second half of 2026. It will be the largest American television broadcaster ever, ready to negotiate from a position of strength with advertisers and distributors. However, the deal still has to be approved by Tegna's shareholders.

Andrea BiondiVicecaposervizio
Luogo: Milano
Lingue parlate: Italiano, Inglese, Francese
Argomenti: Finanza, Media, Telecomunicazioni, Economia dell'entertainment, Innovazione
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