Comcast announced plans to split its tech and media business by spinning off NBC Universal.
Getty ImagesKey FactsIn an official announcement, the company said its tech business and media business will operate as two “independent publicly traded companies” after the spinoff.
Will comcast continue to hold any stake in NBC Universal?
In the announcement, Comcast said it expects to retain “up to 19.9% ownership” stake in NBCUniversal for up to a year after the spinoff.
The media company will have the same dual-class share structure and Comcast plans to “monetize ” its post-spinoff holding in a “tax-efficient manner over time.”tangent
Topline Comcast on Monday announced plans to split its media and technology arms through a tax-free spinoff of NBC Universal and Sky into a separate company, in a move that caused the company’s shares to soar in premarket trading. Comcast announced plans to split its tech and media business by spinning off NBC Universal. Getty Images
Key Facts
In an official announcement, the company said its tech business and media business will operate as two “independent publicly traded companies” after the spinoff. The company said Comcast’s shareholders will own shares in both companies and the split is expected to be completed within the next year. The statement said the split was an effort to create “two focused industry leaders” and a response to “rapidly changing markets.” The spun-off NBCUniversal arm will include Universal film and television studios, the company’s theme park business, NBC, Telemundo, streamer Peacock and other media properties, including Europe’s Sky.
How Have Markets Reacted?
In premarket trading early on Monday, Comcast’s shares soared to $29.23, up more than 26% from Friday’s close. The premarket surge has nearly wiped the slump in Comcast’s stock price since the start of this year. The company was one of the key bidders—after Paramount and Netflix—looking to acquire Warner Bros. Discovery last year.
Will comcast continue to hold any stake in NBC Universal?
In the announcement, Comcast said it expects to retain “up to 19.9% ownership” stake in NBCUniversal for up to a year after the spinoff. The media company will have the same dual-class share structure and Comcast plans to “monetize ” its post-spinoff holding in a “tax-efficient manner over time.”
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