Overview
- U.S. District Judge Troy Nunley issued a 14-day restraining order Friday that requires Nexstar to keep Tegna independent and set an April 7 hearing on a possible preliminary injunction.
- DirecTV’s lawsuit triggered the pause by alleging the merger would raise the retransmission fees pay-TV providers pay to carry local stations, which would boost customer bills, shrink local news, and increase TV blackout risks.
- Nunley found DirecTV showed a likelihood of antitrust violation and irreparable harm and noted the companies did not dispute the deal would increase Nexstar’s leverage in fee negotiations.
- Nexstar announced closure of the $6.2 billion transaction on March 19 after the FCC approved it with a waiver of the 39% national reach cap and the Justice Department granted clearance, while eight states filed a separate Clayton Act challenge.
- The combined company would control about 260 stations reaching roughly 80% of U.S. TV households, a scale that plaintiffs say would let Nexstar demand higher carriage fees and could cut local jobs and coverage in affected communities.