Nexstar to buy Tegna for $6.2B in cash deal; TGNA jumps 4%

[Equipment in outside broadcasting van.]
PRANGKUL RUANGSRI

Nexstar Media (NASDAQ:NXST [https://seekingalpha.com/symbol/NXST]) to acquire all outstanding shares of Tegna (NYSE:TGNA [https://seekingalpha.com/symbol/TGNA]) for $22.00 per share in a cash transaction valued at $6.2 billion, including debt, the companies said on Tuesday.

The purchase price reflects a 31% premium over Tegna’s 30-day average stock price as of August 8, before media reports of a potential deal. Tegna's (NYSE:TGNA [https://seekingalpha.com/symbol/TGNA]) shares rose about 4% to $20.90 in premarket trading, while Nexstar Media (NASDAQ:NXST [https://seekingalpha.com/symbol/NXST]) was up 2.6%.

The deal follows reports that U.S. TV station owner Sinclair (SBGI [https://seekingalpha.com/symbol/SBGI]) has proposed [https://seekingalpha.com/news/4486802-sinclair-reportedly-offers-to-merge-broadcast-tv-operations-with-tegna] merging its broadcast business with rival Tegna (NYSE:TGNA [https://seekingalpha.com/symbol/TGNA]).

The _Wall Street Journal_, which first reported the news, said that the deal would value Tegna's shares at around $25 to $30 per share.

“The initiatives being pursued by the Trump administration offer local broadcasters the opportunity to expand reach, level the playing field, and compete more effectively with the big tech and legacy Big Media companies that have unchecked reach and vast financial resources," Nexstar’s CEO Perry A. Sook said [https://seekingalpha.com/pr/20204588-nexstar-media-group-inc-enters-into-definitive-agreement-to-acquire-tegna-inc-for-6_2-billion].

"We believe Tegna represents the best option for Nexstar to act on this opportunity... The transaction will increase Nexstar’s reach through the expansion of our presence in important DMAs such as Atlanta, Phoenix, Seattle, and Minneapolis, as well as enhance our local presence."

For the eight quarters ending June 30, Nexstar and Tegna together would have annualized net revenue of $8.10 billion and adjusted EBITDA of $2.56 billion, excluding synergies and stock-based compensation, the companies said.

Tegna (TGNA [https://seekingalpha.com/symbol/TGNA]) is no stranger to takeovers. Standard General and private equity firm Apollo Global (APO [https://seekingalpha.com/symbol/APO]) had a deal in 2022 to purchase Tegna for $24 a share, though regulatory delays by the Federal Communications Commission ultimately scuttled the deal in 2023. [https://seekingalpha.com/news/3973889-tegna-falls-ahead-of-standard-general-deal-termination-deadline#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews]

MORE ON TEGNA, NEXSTAR MEDIA

* Nexstar-TEGNA: A Potential Win-Win, But With Regulatory Hurdles [https://seekingalpha.com/article/4812183-nexstar-tegna-a-potential-win-but-with-regulatory-hurdles]
* Nexstar Media Group, Inc. (NXST) Q2 2025 Earnings Conference Call Transcript [https://seekingalpha.com/article/4810619-nexstar-media-group-inc-nxst-q2-2025-earnings-conference-call-transcript]
* TEGNA Inc. (TGNA) Q2 2025 Earnings Call Transcript [https://seekingalpha.com/article/4810432-tegna-inc-tgna-q2-2025-earnings-call-transcript]
* Sinclair reportedly offers to merge broadcast TV operations with Tegna [https://seekingalpha.com/news/4486802-sinclair-reportedly-offers-to-merge-broadcast-tv-operations-with-tegna]
* Key deals this week: Gildan Activewear, Western Union, Sapiens, Perplexity, Teladoc Health and more [https://seekingalpha.com/news/4486305-key-deals-this-week-gildan-activewear-western-union-sapiens-perplexity-teladoc-health-and-more]