Judge finds Nexstar violated court order freezing Tegna merger
RALEIGH — A federal judge has found that Nexstar violated a preliminary injunction requiring Nexstar and Tegna to remain separate while states pursue an antitrust challenge to their proposed merger, according to the North Carolina Department of Justice.
The court ordered the appointment of a special master or magistrate judge to monitor compliance and directed Nexstar to remove company officers from Tegna’s board. Nexstar must also provide monthly compliance documents and submit a status report to the court.
North Carolina Attorney General Jeff Jackson joined the lawsuit seeking to block Nexstar’s proposed $6.2 billion acquisition of Tegna.
A preliminary injunction had previously required the companies to maintain separate management and news operations while the litigation moves forward. The states returned to court after Nexstar executives, including senior corporate officers, were placed on Tegna’s board.
U.S. District Judge Troy Nunley rejected Nexstar’s argument that the board appointments complied with the injunction, according to the Justice Department release.
The dispute has particular implications for North Carolina because the companies have overlapping television holdings in several markets.
In Charlotte, Nexstar owns WJZY and the proposed acquisition would add Tegna-owned WCNC. In the Triad, Nexstar owns WGHP while Tegna owns WFMY. The Norfolk-Newport News market, which reaches parts of northeastern North Carolina, would also include overlapping stations under the proposed transaction.
The Department of Justice said the affected markets represent more than 2 million television households.
Jackson and other state attorneys general argue the acquisition would reduce competition and could affect cable costs and local news operations. Those assertions remain part of the states' pending antitrust case rather than findings on the ultimate legality of the merger.
The latest order concerns compliance with the preliminary injunction, not the final merits of the acquisition.
The underlying antitrust case remains pending, with trial currently scheduled for July 6, 2027.
Editor’s note:
This article was drafted with the assistance of artificial intelligence and was reviewed and fact-checked by a member of the NC Political News editorial team before publication.
