Tegna said it received 8.64 million of its shares from Standard General, whose effort to buy the broadcaster failed as regulatory review extended beyond the data its financing expired.
Standard General’s deal with Tegna called for a $136 million termination fee, and Tegna said the shares it received satisfied that obligation.
Shares in Tegna traded as high as $22.29 when it appeared the Standard General deal was likely to be approved. Shares traded at $16.40, up almost 4%, on Friday morning (June 2).
With the takeover deal off the table, Tegna said it is taking steps to return capital to shareholders.
Tenga said it will repurchase $300 million worth of its shares from JPMorgan Chase Bank, starting with 15.2 million shares on June 6.
The company previously announced a 20% increase in its regular quarterly dividend.
Tegna said its board of directors are “actively reviewing the return of additional excess capital that accumulated during the pending merger.”
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Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.