FCC Puts New Hurdle On Standard General-Tegna Merger, Sends Proposed Transaction To Administrative Hearing
deadline.comStandard General’s proposed acquisition of Tegna faces new doubts as the FCC sent the merger to an administrative law judge, as the agency took issue with the transaction’s potential to raise consumer prices and result in job losses.
The FCC move has effectively killed past proposed mergers, as it adds delay and uncertainty to whether the deal will get a regulatory greenlight.
In a statement, FCC Chairwoman Jessica Rosenworcel said, “As part of the FCC’s mission, we are responsible for determining whether grant of the applications constituting this transaction serves the public interest.
That’s why we’re asking for closer review to ensure that this transaction does not anti-competitively raise prices or put jobs in local newsrooms at risk.” Rosenworcel said that “the additional review will allow us to make a more informed assessment on whether proposed safeguards are sufficient to protect the public interest, and we will take the time needed to address these critical questions.” Under the terms of the transaction, an affiliate of Standard General would purchase Tegna, which has 64 stations in 51 markets.
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