--- a/editors/sed.c
+++ b/editors/sed.c
@@ -936,7 +936,15 @@ static void process_files(void)
 		/* Skip blocks of commands we didn't match */
 		if (sed_cmd->cmd == '{') {
 			if (sed_cmd->invert ? matched : !matched) {
-				while (sed_cmd->cmd != '}') {
+				unsigned nest_cnt = 0;
+				while (1) {
+					if (sed_cmd->cmd == '{')
+						nest_cnt++;
+					if (sed_cmd->cmd == '}') {
+						nest_cnt--;
+						if (nest_cnt == 0)
+							break;
+					}
 					sed_cmd = sed_cmd->next;
 					if (!sed_cmd)
 						bb_error_msg_and_die("unterminated {");
@@ -1031,7 +1039,7 @@ static void process_files(void)
 		case 'c':
 			/* Only triggers on last line of a matching range. */
 			if (!sed_cmd->in_match)
-				sed_puts(sed_cmd->string, NO_EOL_CHAR);
+				sed_puts(sed_cmd->string, '\n');
 			goto discard_line;
 
 		/* Read file, append contents to output */
--- a/testsuite/sed.tests
+++ b/testsuite/sed.tests
@@ -248,4 +248,14 @@ testing "sed beginning (^) matches only 
 	">/usr</>lib<\n" "" \
 	"/usr/lib\n"
 
+testing "sed c" \
+	"sed 'crepl'" \
+	"repl\nrepl\n" "" \
+	"first\nsecond\n"
+
+testing "sed nested {}s" \
+	"sed '/asd/ { p; /s/ { s/s/c/ }; p; q }'" \
+	"qwe\nasd\nacd\nacd\n" "" \
+	"qwe\nasd\nzxc\n"
+
 exit $FAILCOUNT