Sinclair may be looking forward to a future of relaxed station ownership regulations courtesy of the Trump administration, says a report from Reuters.
Sinclair Broadcast Group has approached Tribune Media to talk about a potential “combination.” From Reuters:
A deal between Sinclair and Tribune Media, which have market capitalizations of $3.8 billion and $3.3 billion respectively, would combine two of the largest U.S. local TV station owners and face regulatory curbs on how many households they can reach.
Analysts have said the broadcast industry hopes President Donald Trump will lift caps on ownership concentration, allowing it to compete for audiences and advertising dollars against Facebook Inc and Alphabet Inc’s Google.
Under current FCC regulations no station group is allowed to reach more than 39 percent of U.S Households. Sinclair already owns, operates or provides services to 173 stations in 81 markets, putting it at 38 percent. Tribune has 42 owned or operated stations and is at 44 percent.