US local TV company Nexstar Media Group has bought Washington DC news brand The Hill in a deal worth $130m, believed to be some 3 x revenue and 9 x EBITDA.
Nexstar views the deal as a route to expand its political news coverage. Nexstar acquired Tribune Media in 2018 and operates some 200 stations across the US with NewsNation its main news station. The company is based in Texas.
The Hill was founded in 1994 by Jerry Finkelstein and control of the company passed to his son Jimmy in 2012. The Hill had 48m average monthly users in 2020 with a total of 2bn page views. It is said to be “very profitable” with 50% revenue growth last year. The deal is expected to be immediately earnings accretive and Nexstar intends to pursue further similar digital acquisitions as it monetises and grows its content offer and reach.
