A separation of its live entertainment business, which includes the renowned New York City arena and MSG Networks, was announced by Madison Square Garden Entertainment on Thursday.
The company said in a release that the spinoff would include its performance venues, such as Madison Square Garden, the Hulu Theater, Radio City Music Hall, the Beacon Theatre, and the Chicago Theatre, as well as its bookings for sports and entertainment, including the Radio City Rockettes and the “Christmas Spectacular” play.
Along with its regional sports and entertainment networks, the new entity would also be in charge of the Garden’s licensing deals with the New York Knicks and the New York Rangers.
The only businesses left under MSG Entertainment would be Tao Group Hospitality, which owns restaurants and nightclubs all over the world, and MSG Sphere, which consists of “multi-sensory” performance venues, with the first one now being built in Las Vegas.
In extended trading on Thursday, shares of Madison Square Garden Entertainment increased by almost 7%.