TV station owner Gray Television Inc. said Friday it agreed to buy Schurz Communications Inc.'s TV and radio stations for $442.5 million.
Gray said the acquisition will bring its operations to 49 television markets and 28 states, up from 30 markets in mid-2013. Gray will acquire TV stations in markets ranging from Wichita, Kansas and Augusta, Georgia to Anchorage, Alaska.
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Consolidation has swept the broadcast and cable industries as people increasingly turn to the Internet for video and content costs rise for cable and TV companies.
Atlanta-based Gray said the deal will immediately help its free cash flow. The company also separately recently announced the acquisition of an ABC affiliate in Cedar Rapids, Iowa.
Schurz, based in Mishawaka, Indiana, will hold on to its non-broadcast assets including newspapers and telephone directories.
Gray shares jumped 33 cents, or 2.8 percent, to $12.07 in aftermarket trading after closing the day up 5 percent at $11.74.