Comcast Company introduced its intent to create a brand new publicly traded firm referred to as SpinCo, comprised of NBCUniversal’s cable tv networks together with complementary digital property.
The portfolio touted by the corporate consists of USA Community, which has had an extended relationship with WWE together with the current return of SmackDown to the community following a brand new media rights deal.
From a press release launched by Comcast on their web site:
Comcast Company (NASDAQ: CMCSA) at the moment introduced its intent to create a brand new publicly traded firm comprised of a powerful portfolio of NBCUniversal’s cable tv networks, together with USA Community, CNBC, MSNBC, Oxygen, E!, SYFY and Golf Channel together with complementary digital property together with Fandango and Rotten Tomatoes, GolfNow and Sports activities Engine, by a tax-free spin-off. The well-capitalized unbiased firm (“SpinCo”) can have vital scale as a pure-play set of property anchored by main information, sports activities and leisure content material.
SpinCo will probably be an industry-leading information, sports activities and leisure cable tv enterprise with a centered strategic path. SpinCo’s steady of marquee manufacturers will present a various and differentiated content material providing that can attain roughly 70 million U.S. households.
“Whenever you have a look at our property, proficient administration group and steadiness sheet power, we’re capable of set these companies up for future development,” stated Brian L. Roberts, Chairman and CEO of Comcast. “With vital monetary sources from day one, SpinCo will probably be ideally positioned for fulfillment and extremely engaging to traders, content material creators, distributors and potential companions.”
The deliberate spin-off will even strategically place NBCUniversal with its main broadcast and streaming media properties, together with NBC leisure, sports activities, information and Bravo – which all energy Peacock – together with Telemundo, the theme parks enterprise and movie and tv studios.
“This transaction positions each SpinCo and NBCUniversal to play offense in a altering media panorama,” stated Mike Cavanagh, President of Comcast. “Taken collectively, the whole lot of NBCUniversal will probably be on a brand new development trajectory, fueled by our world-class content material, know-how, IP, properties and expertise – all working in live performance with one another as an built-in media firm.”
As a worldwide media and know-how firm, Comcast will probably be well-positioned to proceed to spend money on its strategic core development companies throughout its Content material & Experiences and Connectivity & Platforms companies, together with residential broadband, wi-fi, enterprise providers, streaming, studios and theme parks. The transaction is anticipated to be accretive to income development at Comcast and roughly impartial to Comcast’s leverage place. The corporate doesn’t anticipate any change to its credit score profile or rankings because of this transaction.
