Nexstar filed a legal appeal urging the Ninth Circuit Court of Appeals to restrict a nationwide injunction that has suspended its $6.2 billion acquisition of Tegna. The company insists that antitrust risks arise only in 31 local TV markets where Nexstar and Tegna own overlapping major network affiliates, rather than across the entire combined entity.
The preliminary federal court injunction blocks integration between the companies amid concerns that the merger would give Nexstar excessive bargaining power over pay-TV providers such as DirecTV. This could potentially lead to higher consumer prices or less investment in local journalism. The injunction has forced Nexstar and Tegna to operate as separate entities during ongoing litigation.
A Nexstar spokesperson criticized the lawsuit, describing it as rooted in an outdated media landscape and aimed more at protecting private equity interests in DirecTV than genuine local news concerns. Nexstar maintains that prolonging the broad injunction harms local broadcasters by depriving them of necessary investments, even as the merger was approved by the Federal Communications Commission earlier this year.
DirecTV and a coalition of eight state attorneys general—including those from California and New York—have launched lawsuits opposing the merger, alleging it would hurt consumers by reducing competition, threatening local newsrooms, increasing blackout frequency, and driving up costs. The attorneys general’s involvement reflects their traditional role in antitrust enforcement alongside federal regulators like the Department of Justice (DOJ) and Federal Trade Commission (FTC), although merger scrutiny has loosened somewhat since the previous administration.
Amidst the legal challenges, Tegna has seen a wave of executive departures. Key leaders including CFO Julie Heskett, Chief Strategy Officer Ed Busby, and Chief Experience Officer Dhanusha Sivajee left the company shortly after Tegna announced that former Fox Television Stations ad sales chief Patrick Paolini would replace outgoing CEO Mike Steib.
Nexstar is pushing for the Ninth Circuit to reconsider the scope of the injunction before the expected antitrust trial, potentially scheduled for mid-2027. The company argues that limiting the injunction to only those specific overlapping markets would allow progress on the merger while addressing competitive concerns. The appeal underscores ongoing tensions between traditional broadcast media consolidation and emerging market dynamics shaped by streaming services and tech platforms.