WASHINGTON, Feb 7 - President Donald Trump on Saturday issued a public endorsement of the proposed merger between Nexstar Media and Tegna, urging regulators and stakeholders to allow the transaction to proceed.
In a post on Truth Social, the president wrote that "We need more competition against THE ENEMY, the Fake News National TV Networks," and added, "GET THAT DEAL DONE!"
The acquisition Nexstar announced last year would see the company pay $3.54 billion to buy Tegna. If completed, the combined firm would become the largest regional television-station operator in the United States, a position company executives say would provide greater leverage with advertisers and pay-TV distributors.
Both Nexstar and Tegna have described pressures facing local broadcasters, noting declining revenue streams and subscriber losses tied to the popularity of streaming services. Nexstar currently owns or partners with more than 200 stations and operates brands including The CW and NewsNation. Tegna operates 64 stations and networks such as True Crime Network and Quest. The companies have said the combined reach would cover 80% of TV households in key markets.
Trump's Saturday post represents a change in tone from comments he made in November. At that time, he criticized a proposal to lift the cap on local television-station ownership - the regulatory change necessary for Nexstar's bid to proceed - and warned he would "not be happy" if easing the limit allowed Comcast-owned NBC or Walt Disney-owned ABC to expand their reach.
On Saturday, however, the president highlighted certain consolidation moves as potentially reducing the sway of the largest national networks, writing that "Letting Good Deals get done like Nexstar - Tegna will help knock out the Fake News because there will be more competition, and at a higher and more sophisticated level."
Not all conservative outlets welcomed the president's shift. Newsmax, a conservative news organization opposed to the acquisition, urged Trump to reconsider his position in a statement, saying: "President Trump was right in November when he called for smaller networks and for keeping TV ownership caps to limit massive broadcast consolidation. The Nexstar deal means dangerous consolidation that will limit competition, harm conservative voices and dramatically increase consumer cable bills. We hope the president will reconsider his position."
The Federal Communications Commission has not yet acted on the proposal to lift the ownership cap. Under current rules, a single company may not own broadcast television stations that reach more than 39% of U.S. television audience households. That limit is central to whether Nexstar's purchase of Tegna can move forward.
The ownership limits will be a focus of congressional oversight this week: the U.S. Senate Committee on Commerce, Science and Transportation plans to hold a hearing on the FCC's media ownership rules on Tuesday. Committee Chair Senator Ted Cruz, a Texas Republican, said the hearing represents "an important opportunity to discuss whether existing rules are legally sound, antiquated, or need to be updated to promote competition and protect against corporate censorship against conservatives."
In November, Tegna said it expected the transaction to close by the second half of this year. On Saturday, Nexstar, Tegna, the FCC and Senator Cruz's office did not immediately respond to requests for comment.
As the companies and regulators consider next steps, the debate centers on whether a larger regional operator could strengthen local stations' position relative to large national networks and distributors, or whether consolidation would concentrate market power, potentially affecting competition, diverse viewpoints and consumer bills.