Possible Rangers/Knicks Spin Off in the Works

It’s not the Yankees but still, interesting…

Item 8.01 Other Events

The Madison Square Garden Company (MSG) today announced that its board of directors has unanimously approved a plan to explore a possible spin-off that would separate its sports businesses from its entertainment businesses, creating two distinct publicly traded companies. If MSG proceeds with the spin-off transaction, it would be structured as a tax-free spin-off to all MSG shareholders and upon completion of the contemplated separation, it is expected that record holders of MSG common stock would receive a pro-rata distribution of the common stock equivalent in aggregate to an approximately two-thirds economic interest in the newly created sports company. The remaining common stock, expected to be equivalent to an approximately one-third economic interest in the sports company, would be retained by MSG (the entertainment company) and is expected to be available to raise capital and/or exchange for MSG common stock. There can be no assurance that the spin-off transaction will be completed. Completion of the spin-off will be subject to various conditions, as well as final MSG board approval.

Link: https://www.sec.gov/Archives/edgar/data/1636519/000119312518205762/0001193125-18-205762-index.htm