Pelosi Raises Concerns About $5.4B Tegna Acquisition

On Thursday US House Speaker Nancy Pelosi and Energy and Commerce Committee Chairman Frank Pallone raised serious concerns about the proposed $5.4 billion deal to buy US broadcaster Tegna, reported Reuters.

Earlier this month, the US FCC requested further information from Standard General about its takeover bid for the broadcast news company that manages 64 stations in 51 US markets.

“We are concerned that this transaction would violate the FCC’s mandate by restricting access to local news coverage, cutting jobs at local television stations, and raising prices on consumers,” the two Democrats wrote to FCC Chair Jessica Rosenworcel.

FCC Chair asked them “to fully examine the concerns raised by public comments – and shared by many of our colleagues in the Congress – about this proposed transaction, consistent with the applicable laws and regulations.”

An FCC spokesman said the commission was reviewing the letter, and “consistent with long-standing practice does not comment on pending transactions.”

In February Tenga agreed to be acquired by Standard General in a $5.4 billion all-cash deal that would take the company private.

Standard General said the proposed deal “will yield significant public interest benefits without any countervailing public interest harms” and suggested that those opposed were misleading lawmakers “with the same false statements they have been making to the FCC.”

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.