Nexstar Media Group founder and CEO Perry Sook says the local TV giant is “making good progress” toward closing its proposed $6.2 billion acquisition of rival Tegna, with the deal expected to finalize on schedule by the second half of 2026. If completed, the merger would make Nexstar the standout leader in a transformed local broadcast sector, Sook acknowledged during the company’s third-quarter earnings call.
**A Transformative Deal for Local Broadcasting**
The combined Nexstar-Tegna entity would operate TV stations reaching 80% of U.S. households—well above the current federal ownership limit of 39% for a single company. When asked about the implications for the broader industry if the merger closes, Sook stated, “A good, strong industry needs to have good, strong companies comprising it. We think that we will be the poster company for not only what the future of the industry will look like, but also with the strength of our balance sheet, management team, financial profile, and the amount of local content that we deliver, as well as leading on innovation for the industry.”
**Quarterly Results and Market Performance**
Nexstar’s comments came alongside the company’s report of quarterly results, which reflected the absence of political advertising compared to the same quarter in 2024. Revenue for the period ended September 30 totaled $1.2 billion, down 12% year-over-year. Earnings per share hit $2.14 on a diluted basis, down from $5.63 a year ago and falling short of Wall Street’s forecast of $4.51. Nexstar shares dropped 7% on the earnings news but remain up 15% year-to-date.
**Regulatory Outlook and Shareholder Vote**
“We’re making good progress on our path to closing,” Sook told analysts, adding that “the pieces are falling into place.” Tegna has filed its proxy statement outlining the financials, and a shareholder vote is scheduled for November 18. Nexstar, meanwhile, has submitted initial paperwork to regulatory agencies and remains actively engaged with officials.
Sook’s optimism is bolstered by last summer’s key U.S. Court of Appeals for the Eighth Circuit ruling, which vacated the so-called “top four” ban on owning multiple stations in a single market. The FCC is expected to revisit the current ownership cap in 2026, although it’s unclear whether the agency can unilaterally raise the limit without Congressional action.
**Political Uncertainty and Industry Consolidation**
The upcoming mid-term elections could impact the Nexstar-Tegna deal. Should Democrats regain control of the House or Senate, it could complicate the transaction. Sook praised the Trump Administration and FCC Chairman Brendan Carr for their deregulatory stance, saying, “allowing businesses to breathe, allowing businesses to compete.”
“There is genuine enthusiasm in this building for this acquisition— for the opportunity it creates to grow our business, for the opportunity it creates to make sure that we secure a future for our business,” Sook said. “All you have to do is look in the news at things going on around us to see why deregulation and further consolidation to preserve local journalism and our industry is necessary.”
**Expanding Local News Production and CW Network Update**
Nexstar has identified nine markets where an additional station could begin producing regular local news for the first time, with Dallas cited as a leading example. Regarding The CW—of which Nexstar acquired a controlling stake in 2022—Sook noted that the network trimmed its losses during the quarter. The CW is now projected to break even by mid-2026, slightly later than the initial three-year target, partly due to increased investment in sports rights. Sports programming now constitutes 40% of the network’s lineup, a significant shift from its past focus on youth-oriented scripted dramas provided by corporate parents. Former 50-50 partners Paramount and Warner Bros. Discovery each retain 12.5% ownership stakes in the network.
https://deadline.com/2025/11/nexstar-ceo-perry-sook-tegna-deal-local-tv-1236609015/
