Sinclair Proposes Acquisition of E.W. Scripps in $7 Per Share Deal

Sinclair Broadcast Group has submitted an unsolicited proposal to acquire all outstanding shares of E.W. Scripps Company for $7 per share, comprising $2.72 in cash and $4.28 in Sinclair common stock. This offer represents a significant premium over Scripps' recent trading average and would grant Scripps shareholders approximately a 12.7% stake in the combined entity upon closing. Sinclair has requested a response from Scripps by December 5.

Sinclair, headquartered in Hunt Valley, Maryland, is one of the largest television station operators in the United States, owning or operating 185 stations across 85 markets. The company has a reputation for a conservative viewpoint in its broadcasts. E.W. Scripps, based in Cincinnati, Ohio, operates more than 60 local stations in over 40 markets and owns national news outlets such as Scripps News and Court TV, as well as entertainment brands like ION.

Sinclair's offer follows its recent acquisition of an 8.2% stake in Scripps' Class A common stock, disclosed in a regulatory filing on November 17. In the filing, Sinclair stated that the investment was made "in contemplation" of a broader merger and emphasized that scaling up is vital to staying competitive in the evolving U.S. media landscape.

Scripps has acknowledged receipt of the unsolicited proposal and stated that its board will evaluate the offer in consultation with legal and financial advisors to determine the best course of action for shareholders and stakeholders. The company emphasized that no shareholder action is required at this time.

The proposed merger is expected to generate significant cost synergies, estimated at $325 million. However, both companies carry substantial debt, with a combined total of $6.2 billion, including $734 million in preferred shares held by Berkshire Hathaway. The financial viability of the merger will depend on the successful realization of these synergies and effective debt management.

Any potential merger between Sinclair and Scripps would require regulatory approval from the Federal Communications Commission (FCC). Sinclair has expressed confidence that the deal would comply with national media ownership rules with minimal divestitures. However, the FCC's stance on media consolidation has been subject to change, and the outcome of such regulatory reviews remains uncertain.

The media industry has seen significant consolidation in recent years. For example, Nexstar Media Group's $6.2 billion acquisition of Tegna in 2025 marked a major consolidation move. Sinclair's proposal to acquire Scripps aligns with this trend, as companies seek to scale operations to remain competitive in the evolving media landscape.

The consolidation of major media companies raises concerns about media diversity and the homogenization of content. Sinclair's known conservative-leaning broadcasts could influence the editorial direction of Scripps' stations, potentially affecting the diversity of viewpoints presented to the public. Additionally, further consolidation may lead to job redundancies and impact local journalism.

Sinclair has a history of aggressive acquisition strategies. In 2018, the company attempted to acquire Tribune Media but faced regulatory hurdles that ultimately led to the deal's collapse. This history may influence both regulatory scrutiny and stakeholder perceptions of the current proposal.

As the December 5 deadline approaches, stakeholders will closely monitor developments to assess the potential impact of this proposed merger on the media landscape, local journalism, and the broader industry.