Sinclair to revise deal to buy WGN, Tribune Media

Sinclair Broadcast Group said Wednesday it plans to revise its deal to buy Tribune Media, including Chicago’s WGN-TV.

The $3.9 billion deal appeared to be in jeopardy after Federal Communications Commission Chairman Ajit Pai said he had “serious concerns” about a plan for Sinclair to sell off some radio and TV stations but continue to operate them.

The revised plan calls for Sinclair to buy WGN-TV as part of the overall deal. It would sell Tribune Media-owned stations in Dallas and Houston.

“Chairman Pai’s comments and press reports indicate the FCC is questioning the proposed divestitures in Dallas, Houston and Chicago. Accordingly, in order to address such concerns and to expedite the Tribune transaction, Sinclair has withdrawn the pending divestitures of stations in Dallas (KDAF) and Houston (KIAH) to Cunningham Broadcasting Corporation and Tribune has withdrawn the pending divestiture of WGN in Chicago to WGNTV LLC . . . . Sinclair will simply acquire that station as part of the Tribune acquisition, which is, and has always been, fully permissible under the national ownership cap,” Sinclair said in a statement Wednesday.

WGN-TV and WGN-AM are among Tribune Media’s 42 local TV and radio stations. The deal was announced in May 2017 but still needs approval from the Department of Justice and Federal Communications Commission.

Sinclair is already the largest operator of local TV stations in the U.S.