DirecTV Joins States to Block Nexstar-Tegna Merger

A federal antitrust lawsuit filed by DirecTV on Thursday joined a similar challenge from attorneys general in eight states, aiming to block Nexstar Media Group's proposed $6.2 billion acquisition of Tegna Inc. The actions, lodged in the U.S. District Court for the Eastern District of California in Sacramento, argue that the merger would create unprecedented concentration in local television markets, harming consumers and journalism.

The states' complaint, filed Wednesday by attorneys general from California, Colorado, Connecticut, Illinois, New York, North Carolina, Oregon and Virginia, contends the deal would allow Nexstar to reach about 80 percent of U.S. television households, more than double the current federal ownership cap of 39 percent. Nexstar, based in Irving, Texas, already operates 164 full-power local broadcast stations across 114 markets, serving roughly 70 percent of households. Tegna controls 64 stations, ranking among the top five owners. The combined company would oversee 228 stations in 132 markets, including nine of the 10 largest and 41 of the top 50.

California Attorney General Rob Bonta described the merger as illegal under federal antitrust laws, stating...