Eight States, Including California, New York, Challenge $6.2B Nexstar-Tegna Merger

Eight states, including California and New York, filed suit late Wednesday to block Nexstar’s proposed $6.2 billion takeover of Tegna. The challenge argues the deal would violate federal antitrust law and harm local news outlets.

Who sued and where

California Attorney General Rob Bonta and New York Attorney General Letitia James led the legal action. They were joined by attorneys general from Colorado, Illinois, Oregon, North Carolina, Connecticut, and Virginia.

The complaint was filed in U.S. District Court for the Eastern District of California. It contends the merger breaches Section 7 of the Clayton Antitrust Act.

Claims and local market concerns

The states say the combination would substantially lessen competition. California’s office pointed to impacts in Sacramento and San Diego.

New York flagged risks to the Buffalo market. AG James said the deal could raise consumer fees and reduce independent local news options.

Regulatory hurdle: national ownership cap

Federal rules now prevent a broadcaster from reaching more than 39 percent of U.S. households. The merged company would approach nearly 60 percent of households.

Completing the transaction would require changing that national ownership cap. The Federal Communications Commission has not publicly scheduled a vote on any rule change.

Reactions from Washington

FCC Chair Brendan Carr publicly backed the deal in a post on X on Feb. 7. He urged regulators to move forward.

Commissioner Anna M. Gomez, the panel’s lone Democrat, called for a transparent review on X. She warned a rushed decision could harm local journalism and raise prices.

Company footprints

Nexstar operates more than 200 owned and partner stations in 116 markets. Its assets include The CW and the cable channel NewsNation.

Tegna controls 64 stations across 51 markets. State lawyers say combining these outlets would centralize control of local television.

Broader state antitrust activity

State attorneys general have recently taken on other media and ticketing issues. More than two dozen AGs sought a mistrial in the Live Nation-Ticketmaster antitrust case.

Live Nation later reached a settlement with the Justice Department. California’s office is also probing the Paramount Skydance deal to acquire Warner Bros. Discovery.

Nexstar and Tegna did not immediately respond to requests for comment. Filmogaz.com will monitor developments and provide updates as more information becomes available.