Nexstar Close to Deal to Buy Media General

It looks like the Nexstar/Media General deal is getting much closer to being done. 

Nexstar is nearing a better-than-$2 billion deal to acquire rival Media General, according to the NY Post. 

“The gap has closed and they are getting closer,” two sources close to the situation said Tuesday.

On Dec. 9, Media General announced that its board had unanimously rejected Nexstar’s $16.31-per-share offer. Media General asked Nexstar for more than $18 per share.

The sides have both shown a willingness to compromise, sources said.

Media General shares Tuesday rose 1.4 percent, to $15.50, indicating the market is unsure a deal will be struck.

For station owners, getting larger is important at a time when cable television industry giants are merging. Greater size gives the stations more leverage in negotiating retransmission fees.

Nexstar is not the only party pursuing Media General. Meredith Corp. is also in the mix. If Media General recommends a Nexstar offer, Meredith will have four business days to match the offer.

Media General and Nexstar declined comment.