Nexstar Media Group in Advanced Talks to Acquire Rival Tegna

Nexstar Media Group is reportedly in advanced talks to acquire rival Tegna, a TV broadcaster. The deal would expand Nexstar's reach and strengthen its position in the industry. Details of the transaction have not been disclosed. The acquisition comes after Nexstar reported its Q2 earnings, with net revenue falling but beating expectations.

Nexstar Media Group is reportedly in advanced discussions to acquire rival Tegna, a TV broadcaster. The deal, valued at approximately $8 billion including debt, could significantly reshape the local television landscape in the United States [2]. Tegna's stock surged 30.57% in after-hours trading on July 2, 2025, following the report, while Nexstar's stock dipped 0.43% [2].

The acquisition comes after Tegna reported its Q2 earnings, with net revenue falling but beating expectations. Tegna's earnings per share (EPS) of $0.44 surpassed the forecast of $0.36 by 22.22% [1]. Despite the positive earnings surprise, Tegna's stock fell by 6.45% to $16.36, reflecting broader market concerns and a cautious investor outlook. Tegna's revenue decreased by 5% year-over-year in Q2 2025 to $675 million, with advertising and marketing services revenue declining by 4% [1].

The acquisition would merge Tegna's portfolio of 64 stations across 51 markets with Nexstar's more than 200 owned or partner stations in 116 markets. Nexstar's national assets, including the CW Network and NewsNation, would be bolstered by the addition of Tegna's regional reach. This marks Tegna's second major acquisition attempt in recent years, following its 2022 agreement with Standard General that ultimately collapsed due to regulatory scrutiny.

Positive regulatory developments and stable network partnerships offer optimism for future growth. The eighth US Circuit Court of Appeals recently handed down a decision to vacate the previous FCC's top four prohibition rule, reasoning that the rule was arbitrary and capricious. This ruling, which will take effect following a 90-day period, provides significant opportunities for Tegna and the broader broadcasting industry.

References:
[1] https://www.ainvest.com/news/tegna-q2-earnings-call-digital-growth-cost-cutting-regulatory-progress-revenue-decline-2508/
[2] https://www.investing.com/news/stock-market-news/wsj-reports-tegna-and-nexstar-near-deal-tegna-shares-jump-4181534