Tribune is about to be sold to Nexstar Media Group, who has finally agreed to acquire the American conglomerate media company
It’s another major deal to round up the year, and this time around, it is another multi-billion deal which is in favor of the Nexstar Media Group. The company has finalized the deal with the Tribune Media company and has agreed to acquire the company for a whopping $4.1 billion, hence, making the to-be-combined company to become the largest television station operator in America.
Based in Irving, Texas, Nexstar is presently the second-largest local television station owner in the country, just behind Sinclair. Should the acquisition go through, Nexstar would become the largest local TV operator in the US. Sources tell Reuters that the deal could be formally announced on Monday and that Nexstar outbid equity firm Apollo Global Management to acquire the company.
The moves for the acquisition of the media group by Nexstar comes right after a failed attempt of a totally different media group, Sinclair Broadcast Group, who proposed to buy the conglomerate media company for a sum of $3.9 billion. Sinclair announced that it would buy Tribune Media in 2017 and that would have allowed the company to reach more than 70 percent of US households. However, the failed attempt prompted another offer from Nexstar almost a year later.
While the deal seems like an easy one for Nexstar, who had to finds luck from the ends of the FCC, who rolled back some rules designed to prevent major companies from owning newspapers and broadcasters or more than two TV stations in the same local market, arguing that the rules were outdated. Critics charged that the rollback would unfairly benefit Sinclair, and the FCC launched a probe to see if chairman Ajit Pai acted improperly, which recently found “no evidence of impropriety.” Sinclair’s bid to acquire Tribune ultimately collapsed, with Tribune filing a $1 billion lawsuit against Sinclair, which later filed a counterclaim.