Sinclair Acquires Stake in E.W. Scripps, Signals Hostile Takeover

A consequential takeover of America’s local broadcast industry may be on the horizon in Cincinnati.

Sinclair Broadcast Group, the conservative-leaning owner of 185 TV stations across the country, announced Monday it has acquired an 8.2% stake in the E.W. Scripps Company.

Scripps is headquartered in downtown Cincinnati, overseeing 61 local stations across the country, including local ABC affiliate WCPO (Channel 9, or “9 News”). Maryland-based Sinclair, one of the nation’s largest local media companies, owns two local stations: WKRC-TV (Channel 12, or “Local 12”) and WSTR-TV (Channel 64, or “Star 64”). 

Critics sounded the alarm during President Donald Trump’s first term when a revived regulatory loophole allowed Sinclair — known for requiring local stations to play “must-run” segments on conservative national politics — to buy up more stations and reach 72% of U.S households, exceeding previous federal limits on media ownership.

Sinclair’s recent hefty purchase of Scripps shares came with a declaration of “a possible combination” of the companies, according to regulatory filings, which mention a “transaction could be completed within nine to 12 months.”

According to the filing, Scripps has engaged in “constructive discussions” about a potential combination with Sinclair “for several months,” but Scripps’ reaction to Sinclair’s filing signals disagreement.

“The company’s board has and will continue to evaluate any transactions and other alternatives that would enhance the value of the company and would be in the best interest of all company shareholders. Likewise, the board will take all steps appropriate to protect the company and the company’s shareholders from the opportunistic actions of Sinclair or anyone else,” reads a Monday press release from Scripps.

Sinclair makes clear in its filing that a less-than-friendly takeover of Scripps is still on the table, noting that Sinclair “reserves the right” to take actions like buying more shares, attempting to influence the board directly, etc., in order to merge the companies.