Nexstar, Tegna merger will challenge ‘Fake News’ networks, claims Trump

US president Donald Trump has thrown his weight behind the planned merger of US station groups Nexstar Media and Tegna, saying it would help in his fight against “the Fake News National TV Networks.”

Donald Trump

Library of Congress

Last year, America’s largest television station owner, Nexstar Media Group, revealed plans to acquire smaller broadcasting group Tegna for around US$6.2bn.

The transaction, which requires regulatory approval from the Federal Communications Commission (FCC), would create a combined entity with 265 television stations in 44 states, including 132 of America’s 210 designated market areas and nine of the top 10 markets.

Nexstar also said the Tegna deal, which is still awaiting the OK from the FCC, would save around US$300m annually.

Now Trump has publicly endorsed the merger, saying it would create some much-needed competition for the big national TV networks.

“We need more competition against THE ENEMY, the Fake News National TV Networks,” the US president wrote in a social media post on Saturday, employing his trademark capital letters.

“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. Those that are opposed don’t fully understand how good the concept of this Deal is for them, but they will in the future. GET THAT DEAL DONE! PRESIDENT DJT.”

Trump’s comments were backed by FCC chairman Brendan Carr, who shared Trump’s comments, adding: “President Trump is exactly right. The national networks like Comcast and Disney have amassed too much power. For years, they’ve been pushing this Hollywood and New York programming all over the country with no real checks. Let’s get it done and bring real competition to them.”

The weekend comments suggest Trump has changed his outlook since November, when he criticised a proposal to lift the cap limiting local television station ownership in the US, which would be necessary for Tegna to be acquired by Nexstar.