Gray Television has reportedly withdrawn its bid for Tegna Television, the current owner of 66 local stations.
Previously, we reported that Gray Television and an investment group were in the running to buy the local stations. Soon after, Byron Allen’s Allen Media Broadcasting also entered the bidding war. Gray was offering $8.5 in cash and stocks, while both Allen Media and Apollo Global Management made $8.5 billion all-cash offers. Now, it seems that Gray has backed out, as reported by Reuters, while both all-cash offers are seemingly still on the table.
Sources tell Reuters that the bid withdrawal was due to “concerns about the impact of the coronavirus outbreak on U.S. regional TV station operators.” While other offers are still being negotiated, Tegna has been giving Apollo Global and Byron Media the space to do due diligence as the impact of coronavirus is still largely unknown, according to the sources.
Tegna, Gray, Apollo and Allen all declined to comment.
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