Sinclair Weighs Merger Options, Possible Ventures Spinoff

Cockeysville, Maryland – Sinclair Broadcast Group, one of the largest owners of US television stations, has begun a strategic review of its broadcast business that could lead to a merger.

The company has held early talks with potential merger partners, though no valuation or final decision has been reached. Alongside the review, Sinclair is considering a spinoff or separation of its ventures division, which includes the Tennis Channel and marketing technology business Compulse.

The review follows board approval and comes as the US broadcast industry anticipates deregulation under the Trump administration, which could relax station ownership rules and spur mergers and acquisitions.

Sinclair operates 178 TV stations affiliated with major networks including ABC, NBC, CBS, Fox, and The CW, across 78 markets. The company’s market capitalization stands at about $875 million, with an enterprise value exceeding $4.3 billion.

Shares rose nearly 13% in after-hours trading following the announcement.

Sinclair’s revenue has been pressured by the decline of traditional pay-TV subscriptions. In the second quarter, total revenue fell 5% to $784 million, while advertising revenue dropped 6% to $322 million.

Last year, Sinclair explored selling over 60 stations, more than 30% of its broadcast footprint, and CEO Chris Ripley has indicated the company remains open to deals.