NEW YORK (CelebrityAccess) – Madison Square Garden Entertainment (MSGE) announced Thursday (March 30) that its board of directors has approved the spin-off of its traditional live entertainment business, expected to be completed on April 20.
The current parent company (MSGE) will be renamed Sphere Entertainment Company and will include the Sphere in Las Vegas, MSG Networks, and Tao Group Hospitality (TGH).
TGH owns several restaurants and clubs in Vegas, and MSG Network airs games for the New York Knicks and other sports teams. The Sphere, a 17,000-seat venue with a 160,000 square-foot LED media screen, is set to launch in the Fall with concerts by U2.
The second company will be Madison Square Garden Entertainment, managing the company’s live music business, the entertainment and sports booking business, the Christmas Spectacular (Radio City Rockettes), arena licensing agreements, and performance venues, which include Madison Square Garden and Radio City Music Hall.
The transaction is expected to be complete on April 20 and is subject to “certain conditions, approvals, and consents, including final NBA league approval and receipt of a tax opinion from counsel,” according to the company’s statement.
Executive Chairman and CEO James L. Dolan said: “With today’s announcement, we are one step closer toward our goal of creating two distinct companies, each well positioned to generate long-term value for our shareholders.”
