(Reuters) - U.S. TV station owner Tribune Media Co TRCO.N is kicking off a new round of talks to sell itself after its planned $3.9 billion sale to peer Sinclair Broadcast Group Inc SBGI.O failed to get regulatory clearance, people familiar with the matter said on Wednesday.

FILE PHOTO: The tower of Tribune Broadcasting Los Angeles affiliate KTLA 5 is seen in Hollywood, Los Angeles, California, U.S., July 17, 2018. REUTERS/Lucy Nicholson/File Photo

Tribune terminated its deal with Sinclair last month, and filed a lawsuit arguing that the latter mishandled efforts to get the transaction approved by taking too long and being too aggressive in its dealings with regulators.

Tribune is working with financial advisers Moelis & Co MC.N and Guggenheim Securities LLC to field interest from potential buyers, including rival Nexstar Media Group Inc NXST.O and private equity firms, the sources. The discussions are at an early stage and no deal is certain, the sources added.

Tribune declined to comment, while representatives from Nexstar, Moelis and Guggenheim did not immediately respond to requests for comment.

Tribune shares rose as much as 3 percent on the news and ended trading on Wednesday up 2.5 percent at $37.55, giving the company a market capitalization of $3.3 billion.

Based in Chicago, Tribune Media owns or operates 42 local television stations reaching approximately 50 million households. It also owns national entertainment cable network WGN America, whose reach is more than 77 million households, and a variety of digital applications and websites commanding 54 million monthly unique visitors online, according to its website.

The broadcast media sector has seen a flurry of merger talks amid expectations that the U.S. Federal Communications Commission (FCC) could relax restrictions on how many stations broadcasters can operate. The FCC has yet to vote on the matter.

Privately held Cox Enterprises Inc announced in July that it was exploring strategic options, including a potential sale, for the 14 broadcast TV stations it owns in cities such as Atlanta, Boston and Memphis. It has since hired two investment banks to handle the sale, sources have said.

Tribune Chief Executive Officer Peter Kern said on an earnings call last month that “the environment remains welcoming and open to sensible consolidation.”

Tribune has filed a lawsuit against Sinclair seeking damages of at least $1 billion for what it called Sinclair’s “misconduct” and “willful breaches” of the merger agreement.

In its counterclaim in the Delaware Court of Chancery, Sinclair rejected Tribune’s allegations and suggested the companies had been very close to winning U.S. Department of Justice approval. The deal was scuttled when the FCC took the unusual step of referring it to an administrative judge for review and questioned Sinclair’s candor over the planned sale of some stations.

The FCC said Sinclair did not “fully disclose facts” relating to the planned sale of three stations, including pre-existing business relationships the company had with prospective buyers.

Tribune emerged from bankruptcy in late 2012 and completed a spinoff of its newspaper assets in 2014.

Buyout firm Apollo Global Management LLC APO.N approached Nexstar last summer to express interest in acquiring it, Reuters reported in July. Nexstar's focus, however, is on being an acquirer in light of Sinclair's torpedoed acquisition of Tribune, according to the sources.