Comcast To Create New Publicly Trading Company

Comcast Corporation has announced its intent to create a new publicly traded company comprised of a strong portfolio of NBCUniversal's cable television networks, including USA Network, CNBC, MSNBC, Oxygen, E!, SYFY and Golf Channel along with complementary digital assets including Fandango and Rotten Tomatoes, GolfNow and Sports Engine, through a tax-free spin-off.

The well-capitalised independent company (SpinCo) will have significant scale as a pure-play set of assets anchored by leading news, sports and entertainment content.

SpinCo will be an industry-leading news, sports and entertainment cable television business with a focused strategic direction. SpinCo's stable of marquee brands will provide a diverse and differentiated content offering that will reach approximately 70 million U.S. households. 

"When you look at our assets, talented management team and balance sheet strength, we are able to set these businesses up for future growth," said Brian L. Roberts, Chairman and CEO of Comcast. "With significant financial resources from day one, SpinCo will be ideally positioned for success and highly attractive to investors, content creators, distributors and potential partners."

The planned spin-off will also strategically position NBCUniversal with its leading broadcast and streaming media properties, including NBC entertainment, sports, news and Bravo – which all power Peacock – along with Telemundo, the theme parks business and film and television studios.

As a global media and technology company, Comcast will be well-positioned to continue to invest in its strategic core growth businesses across its Content & Experiences and Connectivity & Platforms businesses, including residential broadband, wireless, business services, streaming, studios and theme parks. The transaction is expected to be accretive to revenue growth at Comcast and approximately neutral to Comcast’s leverage position. The company does not anticipate any change to its credit profile or ratings as a result of this transaction.

SpinCo will be led by an experienced and well-respected management team. Mark Lazarus, current Chairman of NBCUniversal Media Group, will serve as the company’s Chief Executive Officer, and Anand Kini, current Chief Financial Officer of NBCUniversal and EVP of Corporate Strategy at Comcast, as its Chief Financial Officer and Chief Operating Officer. Together they will lead the development of an independent strategy, while also establishing SpinCo as a potential partner and acquirer of other complementary media businesses.

nbcuniversal.com