Broadcast Giant Nexstar Acquires Tegna, Exceeding FCC Ownership Cap
The FCC approves Nexstar's $6.2B purchase of Tegna, granting a waiver that allows the merged company to reach 80% of U.S. TV households, far exceeding the 39% ownership limit.
Nexstar Media Group, a major broadcast company, has successfully completed its $6.2 billion acquisition of Tegna Inc., a leading TV station owner, after receiving approval from the Federal Communications Commission (FCC). The deal, which was also approved by the U.S. Department of Justice, has faced legal challenges from a group of state attorneys general who are seeking to unwind the merger.
The FCC's decision to grant a waiver allowing the combined entity to reach 80% of U.S. TV households, far exceeding the 39% ownership limit set by the agency's National Television Ownership Rule, has been a source of controversy. Critics argue that the FCC lacks the authority to grant such a waiver and that only Congress can modify the ownership cap.
Despite the legal challenges, Nexstar has closed the acquisition, stating that the combined company will own fewer than 15% of TV stations nationwide. However, when applying the
Source: Ars Technica
