A coalition of eight state attorneys general launched a legal challenge Wednesday to stop Nexstar Media Group from completing its proposed $6.2 billion takeover of TEGNA Inc., arguing the merger would harm consumers, eliminate jobs, and dangerously consolidate local broadcast news under a single corporate roof, according to Reuters.
The lawsuit was filed in U.S. District Court in Sacramento under the antitrust provisions of the Clayton Act, with California leading the effort and New York, Colorado, Connecticut, Illinois, North Carolina, Oregon, and Virginia joining the action. The filing asks the court to permanently block the deal from moving forward.
The legal challenge marks a significant escalation in opposition to a merger that has been in the works since it was announced in August 2025. If completed, the deal would combine Nexstar — which currently owns or operates partnerships with more than 200 stations across 116 U.S. markets and runs both The CW and NewsNation networks — with TEGNA, which controls 64 stations in 51 markets. The resulting company would be by far the largest broadcast station group in the United States, with a reach spanning the vast majority of American households.
State officials warned that the combined entity would control hundreds of television stations and reach approximately 80% of U.S. households, giving it enormous leverage over the pay-television industry.
At the heart of the states’ argument is a concern that Nexstar, armed with unrivaled scale, would be able to extract substantially higher retransmission fees from cable and satellite providers — fees that are typically passed along directly to consumers in the form of higher monthly bills. Officials argued the merger would give Nexstar increased power to raise these retransmission fees, costs that consumers would ultimately bear.
Beyond the financial impact on viewers, the coalition raised serious concerns about what consolidation on this scale could mean for the quality and independence of local journalism. The states contended that the merger could lead to newsroom consolidation and a reduction in independent sources of reporting, undermining the diversity of voices that communities depend on. They also argued the deal would eliminate direct competition between the two broadcasters in multiple markets, leaving viewers with fewer choices.
California Attorney General Rob Bonta was among the most vocal opponents of the deal, declaring the proposed merger illegal and contending it would drive up pay-TV prices while also cutting jobs in the broadcasting industry. His office also called on both the U.S. Department of Justice and the Federal Communications Commission to deny approval of the transaction at the federal level.
New York Attorney General Letitia James echoed those concerns, emphasizing that the combination of so many television stations under one owner threatened the availability of affordable and independent local news for millions of Americans, while also potentially driving up cable bills. FingerLakes1
The lawsuit arrives at a tense moment in the deal’s regulatory journey. The merger has the backing of President Donald Trump and FCC Chairman Brendan Carr, with Carr signaling last month that the commission intended to move forward with approval. However, the U.S. Department of Justice has continued to evaluate the plan independently, and its approval remains a necessary step before the deal can be completed.
Nexstar’s chief executive has expressed confidence that the company will clear all necessary regulatory hurdles. CEO Perry Sook told investors during a conference call last month that he remained optimistic about obtaining all required approvals, with the goal of closing the deal before year’s end.
The states’ legal action, however, now introduces a new and potentially significant obstacle. By filing under the Clayton Act — the federal statute that prohibits mergers and acquisitions that would substantially lessen competition — the coalition is positioning the courts as a check on a deal that has otherwise found a receptive audience at the federal agency level. Whether the court agrees that the Nexstar-TEGNA combination crosses that antitrust threshold will now be a central question as the case moves forward.
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