Sinclair in Talks to Acquire E.W. Scripps as It Takes 8.2% Stake in Broadcasting Company

Sinclair Broadcasting has acquired an 8.2% stake in its rival E.W. Scripps as the local TV station contemplates a potential merger with the company.

In an SEC filing, Sinclair said it acquired 6.28 million shares valued at approximately $15.6 million. It also noted that its board of directors and management team, alongside financial and legal advisors, have engaged in “constructive discussions” with E.W. Scripps for several months regarding a potential combination.

Sinclair believes that a potential deal would offer “both near- and long-term value creation for shareholders of each company,” estimate more than $300 million in expected annual synergies. It added that holders of E.W. Scripps common stock would receive an ownership…