The agreement would make the combined company the third-biggest U.S. group owner after Fox (FOXA) and CBS (CBS).
When the deal is announced, it is expected to be placed on hold because Media General has already assured itself to Meredith Corp. (MDP), the Post added.
Richmond, VA based Media General hopes the agreement will pressure Meredith to settle the $60 million termination fee that was negotiated.
In the event that Meredith declines to settle, it can force a Media General vote on its earlier signed merger agreement in February, the Post noted.
Irving, TX-based Nexstar is a television broadcasting and digital media company focused on the acquisition, development and operation of television stations and interactive community websites in medium-sized markets in the U.S.
Nexstar stock closed at $47.37 on Monday.
Media General is a connected-screen multimedia company that provides news, information and entertainment.
Shares of Media General are rising by 1.73% to $15.85 in pre-market trading on Tuesday.
Separately, TheStreet Ratings Team has a "buy" rating with a score of B on the stock.
This is driven by a number of strengths, which the team believes should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks it covers.
The company's strengths can be seen in multiple areas, such as its robust revenue growth, notable return on equity, growth in earnings per share, increase in net income and good cash flow from operations.
TheStreet Ratings believes its strengths outweigh the fact that the company has had generally high debt management risk by most measures that were evaluated.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: NXST