Gray Media and Scripps Agree to Swap Television Stations

Gray Media and Scripps agree to swap TV stations in five mid-sized and small markets, creating new duopolies for each group. The deal aims to give them market scale and depth to preserve and deepen public service to their communities with essential local news and sports programming. Gray will acquire Scripps' WSYM in Lansing, Michigan, and KATC in Lafayette, Louisiana, while Scripps will acquire Gray's KKTV in Colorado Springs, Colorado, and KMVT in Twin Falls, Idaho. The transaction is expected to close in the fourth quarter of this year.

Gray Media, Inc. (NYSE: GTN) and The E.W. Scripps Company (NASDAQ: SSP) have announced a significant strategic move in the television broadcasting industry. The companies have entered into agreements to swap television stations across five mid-sized and small markets, resulting in the creation of new duopolies for each group. The transaction aims to enhance market scale and depth, thereby strengthening their ability to provide essential local news and sports programming to their communities.

Gray Media will acquire Scripps' WSYM (Fox) in Lansing, Michigan, and KATC (ABC) in Lafayette, Louisiana. These acquisitions will create a duopoly in Lansing, where Gray already owns WILX (NBC), and will complement Gray's strong presence in the Southeast, including other markets in Louisiana. Meanwhile, Scripps will acquire Gray's KKTV (CBS) in Colorado Springs, Colorado, and KMVT (CBS) in Twin Falls, Idaho. These acquisitions will bolster Scripps' regional presence in the West, where it already owns and operates stations across multiple states.

The swap involves an even exchange of comparable assets, with no cash consideration required from either party. This approach allows both companies to avoid capital expenditures while achieving geographic clustering benefits, reflecting the challenging economics facing local broadcasters and their creative solutions for sustainable operations.

Both companies have expressed their intention to expand news coverage and staffing following the transactions. Gray plans to increase the number of live local newscasts at its newly acquired stations, while Scripps aims to enhance local sports and news coverage in its growth markets. The deal is expected to close in the fourth quarter of 2025, pending regulatory approvals.

The transaction requires regulatory approval, including waivers of certain local ownership restrictions that the companies describe as "outdated" given today's competitive media landscape. Gray and Scripps anticipate closing both sides of the swap simultaneously in the fourth quarter of this year following receipt of regulatory and other customary approvals.

Forward-looking statements in this press release are subject to certain risks, trends, and uncertainties that could cause actual results and achievements to differ materially from those expressed in such forward-looking statements. Each company is subject to additional risks and uncertainties described in their respective quarterly and annual reports filed with the Securities and Exchange Commission from time to time.

References:
[1] https://www.stocktitan.net/news/SSP/gray-media-and-scripps-agree-to-swap-television-ujg4pwn5a6vn.html
[2] https://www.prnewswire.com/news-releases/gray-media-and-scripps-agree-to-swap-television-stations-302499033.html