Judge blocks Nexstar-Tegna deal, throwing $6.2-billion merger into doubt

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A federal judge has blocked Nexstar Media Group’s $6.2-billion acquisition of its rival, upending the already consummated union of the nation’s two largest television station groups.U.S.District Court Chief Judge Troy L.

Nunley on Friday issued a preliminary injunction that forbids Nexstar, which owns KTLA-TV Channel 5 in Los Angeles, and its takeover-target, Tegna Inc., from combining operations amid a legal dispute with California Atty.Gen.

Rob Bonta and seven other state attorneys general.The order takes effect Tuesday.“Nexstar must permit Tegna to continue operating as a separate and distinct, independently managed business unit from Nexstar,” Nunley wrote in his 52-page order.

“And Nexstar must put measures in place to maintain Tegna as an ongoing, economically viable, and active competitor.”The injunction is Nexstar’s latest setback in the controversial deal championed by President Trump.Bonta and the others are opposed to the merger, arguing it violates a 112-year-old U.S.

antitrust law by knocking out a major competitor.The deal would give Irving, Texas-based Nexstar control of 265 television stations across the country, up from 164.

And, in dozens of markets, including San Diego and Sacramento, Nexstar would own multiple TV network affiliates.That duplication has raised concerns about staff consolidations and widespread newsroom layoffs.“This is a critical win in our case,” Bonta said in a statement.“This merger is illegal, plain and simple.

The federal government may have thrown in the towel, but we’ll keep fighting for consumers, for workers, for affordability and for our local news.” Hollywood Inc.Lawyers for TV station giant Nexstar, which owns KTLA, argued that last month’s mammoth merger with Tegna would not lessen competition.Nexstar, in a statement, said that it will appeal the ruling, but that it has taken steps to comply with the...