Gray Television Inc. announced on Friday that it would be acquiring Schurtz Communications Inc.'s radio and T.V. stations, according to Fox Business. The deal, which has not yet been finalized, cost Grey Television Inc. $442.5 million.
The acquisition broadens the markets for Gray television, according to Fox Business. The company will now be able to reach 49 television markets and 28 states. Its programs will be on television screens and car radios from southern Georgia to Anchorage, Alaska.
This consolidation of broadcasting networks puts pressure on other companies to do the same, according to USA Today.
"In a rapidly consolidating industry where size and scale matter more than ever before, we have come to the realization that Gray Television would be the best steward to ensure our stations succeed over the long-term. Gray knows how to operate top stations in small and medium-sized markets, and they have an entrepreneurial and decentralized culture," Todd Schurz, the CEO of Schurz Communications, said in a statement on Friday, according to USA Today.
The deal is set to close by the end of 2015, according to Market Watch. Stocks are already up for the Atlanta-based company, rising 5.3 percent. The deal is expected to increase profits for the company tremendously once it is officially finalized.
