TV broadcaster Tegna ( NYSE: TGNA ), which is in a deal to sell itself to Standard General, fell 2.3% at least partly as competitor Gray Television ( NYSE: GTN ) plunged 33% after reporting Q3 results that missed analysts estimates.
Gray Television also forecast Q4 revenue below analysts estimates.
The drop in Tegna ( TGNA ) follows a 3.2% decline on Thursday after a Bloomberg report that Justice Dept. is evaluating whether Standard General's purchase may lead to higher cable prices. The report also mentioned concerns about potential job cuts associated with a deal.
Standard General in a filing with the Federal Communications Commission on Thursday refuted claims from the a labor union that the company planned to cut jobs after purchasing Tegna ( TGNA ).
Standard General has "no intention" of cutting journalist jobs or station-level staffing following the deal, the company said in the filing. The firm highlighted that Tegna station employees will likely be in more "secure hands" as a private company than they would if Tegna ( TGNA ) remains public and subject to "economic pressures" public companies face.
Tegna ( TGNA ) in late February agreed to be sold to Standard General and Apollo Global ( APO ) for $24/share in cas h.
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Tegna falls as peer Gray Television plunges post results; Standard General refutes job cut claims