California and six other states filed suit to block Nexstar‘s merger with Tegna, a transaction that will create a broadcast station giant.
The $6.2 billion transaction would give the combined company 265 stations covering 80% of the country.
Attorney General Rob Bonta said in a statement, “This merger would cause incredibly high levels of concentration in local TV markets and is expected to raise cable and satellite prices across the country, causing irreparable harm to local news and consumers who rely on their reporting as a critical source of information.”
The lawsuit, filed in federal court in Sacramento, claims that Nexstar-Tegna would gain additional bargaining leverage over cable and satellite operators, allowing them to collect higher retransmission consent fees that will be passed on to consumers.
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The FCC and the Justice Department are reviewing the transaction. But President
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