Where Things Stand: The Nexstar, Tegna TV Merger

Background: In August 2025, Nexstar Media Group announced its plan to acquire rival local television station owner TEGNA Inc. in a $6.2 billion deal (with some reports citing an equity value around $3.5–3.54 billion). 

Nexstar was already the largest U.S. broadcast station group; adding TEGNA’s stations would create a combined entity owning or operating approximately 265 full-power TV stations across 44 states and the District of Columbia, reaching roughly 80% of U.S. television households.

The transaction required regulatory approvals because it would exceed the FCC’s longstanding national ownership cap (limiting any single company to stations reaching no more than 39% of U.S. households) and trigger local ownership rule issues in dozens of markets. Nexstar agreed to divest six stations and make commitments related to localism, affordability, and journalism investment to help secure approval.

Current Status: The deal officially closed on March 19, 2026, after the U.S. Department of Justice granted unconditional early termination of its antitrust review and the FCC’s Media Bureau (via staff-level approval, without a full Commission vote) granted the necessary waivers. Nexstar immediately announced that it had completed the acquisition.

However, the merger is now effectively frozen on the operational side. On April 17, 2026, Chief U.S. District Judge Troy Nunley (Eastern District of California, Sacramento) issued a preliminary injunction blocking Nexstar from integrating or consolidating operations with TEGNA’s stations until a full antitrust trial concludes. The ruling does not unwind the completed ownership transfer, Nexstar legally owns TEGNA, but requires the two companies to continue operating separately to avoid irreparable harm to competition.

The injunction stems from two separate antitrust lawsuits filed on or around March 19, 2026: 

• One by eight states (including California and New York, led by Democratic attorneys general).
• One by DirecTV:  Plaintiffs argue the deal would substantially lessen competition in local TV markets (especially news), enable higher retransmission fees (raising cable and satellite bills for consumers), lead to newsroom layoffs and consolidations, and reduce local journalism quality. 

The judge found that plaintiffs are likely to succeed on the merits and that consumer harm from integration would be difficult to reverse later.

Nexstar has stated it will appeal the preliminary injunction to the Ninth Circuit Court of Appeals. The injunction is scheduled to take effect on April 21, 2026, giving time for that process.

What’s Next

• Appeal: Nexstar is expected to file its appeal immediately with the Ninth Circuit.
• Antitrust Trial: A full trial on the merits will proceed in federal court in Sacramento. If plaintiffs prevail, Nexstar could be ordered to unwind the transaction (potentially requiring divestiture of dozens of stations).
• Possible Settlement: Discussions could occur, especially to address DirecTV’s carriage-fee concerns, but the states’ broader demands for structural relief (e.g., significant divestitures) may make a quick settlement difficult.
• Operational Impact: Until resolved, the companies must maintain separate operations, delaying the $300 million+ in annual cost synergies Nexstar anticipated (which historically have involved staff reductions and combined newsrooms).

The case highlights ongoing tension between FCC/DOJ regulatory approvals under the current administration and independent judicial review of antitrust concerns in local media. The situation remains fluid, with the appeal and trial timeline likely stretching into late 2026 or beyond.