Tegna falls 5% after Trump criticizes lifting local TV ownership cap
Tegna's shares dropped nearly 5% after President Trump criticized lifting the local TV ownership cap, a move crucial for Nexstar's $3.54 billion acquisition of Tegna. Trump expressed concerns that lifting the cap could negatively impact conservatives and mentioned potential expansions by Comcast-owned NBC or Disney-owned ABC.
WASHINGTON, Nov 24 (Reuters) - Shares in Tegna (TGNA.N) fell nearly 5% on Monday after President Donald Trump criticized a proposal to lift the current cap on local television station ownership, which is necessary for the company to be acquired by Nexstar Media.
Acquiring Tegna would expand Nexstar’s (NXST.O) presence covering 80% of TV households across key geographies under the $3.54 billion deal. Trump on Sunday posted a story on social media that said lifting the cap would be a “disaster” for conservatives and added that he would “not be happy” if the move allowed Comcast-owned NBC (CMCSA.O) or Disney-owned ABC (DIS.N) to expand.
