Comcast reportedly plans to spin off several of its cable assets. File Photo by Mike Mozart/Wikimedia Commons
Nov. 20 (UPI) — Media giant Comcast officially announced on Wednesday that it is spinning off some of its most well-known cable-oriented outlets from NBCUniversal.
The new company will be separated from NBC News, NBC Sports, the Peacock streaming service and the reality show-based channel Bravo, along with Universal theme parks.
It will consist of the USA Network, CNBC, MSNBC, Oxygen, E! SYFY and the Golf Channel. Digital assets Fandango, Rotten Tomatoes, GolfNow, and SportsEngine will also join the new network.
“When you look at our assets, talented management team, and balance sheet strength, we are able to set these businesses up for future growth,” Brian Robert, chairman and CEO of Comcast said in a statement.
“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.”
Comcast officials said the move will now allow NBCUniversal and its programming to consolidate behind the Peacock streaming service.
“This transaction positions both SpinCo and NBCUniversal to play offense in a changing media landscape,” Mike Cavanaugh, president of Comcast, said in a statement. “Taken together, the entirety of NBCUniversal will be on a new growth trajectory, fueled by our world-class content, technology, IP, properties and talent — all working in concert with each other as an integrated media company.”
Mark Lazarus, the current chair of the NBCUniversal MediaGroup, will act as the company’s new CEO. He said he is confident that the spinoff companies will be more successful as their own standalone company.
“We see a real opportunity to invest and build additional scale and I’m excited about the growth opportunities this transition will unlock,” Lazarus said in a statement. “Our financial strength will also provide capacity for an attractive capital return policy while allowing for investment in the growth of these businesses.”
Comcast officials said they expect the deal will be completed in one year, pending regulatory obligations.