(Reuters) -Television broadcaster Nexstar Media Group has agreed to acquire smaller rival Tegna for $3.54 billion, the companies said on Tuesday.

The offer price of $22 per share represents a premium of nearly 44% to Tegna’s closing price on Aug. 8, before reports of a deal emerged. The deal is valued at $6.2 billion, including debt.

Shares of Tegna were up 2.2% in premarket trading at $20.48, after having risen more than 20% this month on expectations of a takeover.

The deal marks yet another notable step in the ongoing consolidation of the U.S. television industry, as traditional cable TV adapts to shifting consumer habits driven by cord-cutting and the rapid expansion of streaming.

Dealmaking has also heated up amid expectations of looser regulations under U.S. President Donald Trum

See Full Page