Madison Square Garden Entertainment announced Thursday that it is considering spinning off its theater and live entertainment business, as well as its MSG Network cable network, sports bookings and other assets. The company’s board authorized management to explore the measure that would separate those businesses from MSG Sphere and Tao Group Hospitality to create two public companies.
Theaters include the Chicago Theater in the Loop, which Madison Square Garden acquired in 2008, as well as its namesake Madison Square Garden, Radio City Music Hall, and the Beacon Theatre, all in New York. The collection also includes the Radio City Rockettes and their annual “Christmas Spectacular.”
MSG Entertainment would retain a one-third interest in the new live entertainment and media company, as well as TAO Group Hospitality (a global provider of entertainment, dining and nightlife) and MSG Sphere, a high-tech venue under construction in Las Vegas. Vegas and is expected to open next year.
Known for its long history of live entertainment and its famous marquee, the iconic Chicago Theater at 175 N. State St. features primarily comedy and music acts; Upcoming shows include Blondie on August 27, Bill Maher on September 10, and Doobie Brothers on September 14.
“This potential transaction would create two companies, each with a distinct value proposition for investors,” said Executive Chairman and CEO James L. Dolan. said in the ad. The Dolan family of New York controls MSG. No schedule was included in the announcement.