Nexstar Media Group to Acquire TEGNA Inc. for $6.2 Billion, Creating Leading Local Media Company

Nexstar Media Group has agreed to acquire TEGNA in a $6.2 billion cash transaction, representing a 31% premium to TEGNA's average 30-day stock price. The deal is expected to close in H2 2026, subject to regulatory approvals. The acquisition aims to enhance Nexstar's position as a leading local media company, increasing geographic diversity and operational scale.

Nexstar Media Group, Inc. (NASDAQ:NXST) has agreed to acquire TEGNA Inc. (NYSE:TGNA) in a $6.2 billion cash transaction, representing a 31% premium to TEGNA's average 30-day stock price. The deal, which has been unanimously approved by TEGNA's board of directors, is expected to close in the second half of 2026, subject to regulatory approvals [1].

The acquisition aims to enhance Nexstar's position as a leading local media company by increasing geographic diversity and operational scale. Upon closing, the combined entity will have 265 full-power television stations in 44 states and the District of Columbia, reaching approximately 80% of U.S. television households [2].

Nexstar, whose shares were halted ahead of the announcement, aims to enhance its position as a leading local media company through the transaction. The combined entity will have stations in 9 of the top 10 designated market areas (DMAs) and will reach approximately 80% of U.S. television households.

The companies expect to generate annual net synergies of approximately $300 million from revenue opportunities and operating expense reductions. The deal is projected to be more than 40% accretive to Nexstar’s standalone adjusted free cash flow in the first twelve months after closing.

Following the acquisition, Nexstar’s net leverage ratio is expected to be approximately 4x at closing, with plans to reduce leverage to current levels by 2028.

The transaction, subject to TEGNA shareholder and regulatory approvals, is expected to close by the second half of 2026.

References:
[1] https://www.investing.com/news/stock-market-news/tegna-stock-rises-after-nexstar-announces-62-billion-acquisition-deal-93CH-4199803
[2] https://www.tegna.com/nexstar-media-group-inc-enters-into-definitive-agreement-to-acquire-tegna-inc-for-6-2-billion-in-accretive-transaction/