Sinclair Broadcasting Group Inc. has submitted a cash‑and‑stock proposal to acquire E.W. Scripps at $7 per share, comprising $2.72 in cash and $4.28 in shares of the combined entity. The offer would give Sinclair a 12.7% stake in the new company and would build on Sinclair’s existing roughly 10% holding in Scripps.
The deal would add more than 60 local television stations to Sinclair’s portfolio, expanding its reach to 86 markets and bringing the combined company to 185 stations in 85 markets. Sinclair says the transaction will strengthen local journalism, provide a larger scale for negotiating retransmission fees, and position the company to leverage next‑generation broadcast and digital platforms.
Sinclair reported a Q3 2025 net loss of $1 million on revenue of $740 million, a 15.7% decline from $917 million in Q3 2024. The drop was largely driven by a sharp decline in political advertising revenue, which fell off the high of the 2024 election cycle. E.W. Scripps posted Q3 2025 revenue of $526 million, down 19% from $657 million in Q3 2024, and a loss of $32.96 million, also attributed to the absence of a major election‑year advertising boost.
Sinclair estimates $325 million in annual cost synergies, including consolidation of distribution, advertising sales, and shared technology platforms. The $7 per share price represents a 57% premium over Scripps’ closing price of $4.43 on the day of the announcement, reflecting Sinclair’s valuation of the combined company’s scale and future growth prospects.
Sinclair CEO Chris Ripley said the proposal would "strengthen local journalism" and "position the combined company and employees for long‑term success." Scripps CEO Adam Symson noted that the deal would help the company thrive by leveraging local news and network programming across a broader audience.
Scripps shares rose 7.5% on the news of the bid, closing at $4.43, reflecting investor optimism about the takeover premium and potential synergies. Sinclair’s stock also saw a modest uptick, indicating market approval of the strategic move.
The transaction will require FCC and antitrust clearance. Sinclair’s prior use of local marketing agreements and the potential for market concentration will be key factors in the regulatory review.
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