Comcast Will Announce Spinoff Of NBCU Cable Networks Imminently, WSJ Reports

Comcast(CMCSA), the second largest cable tv company by subscribers in the US will be announcing the spin off of its NBCU cable networks as soon as tomorrow, the WSJ reports. We believe this to be Comcast’s first spinoff, though much of its footprint came from AT&T(T) spinoff AT&T Broadband. AT&T Broadband was itself a combination of MediaOne(a spinoff of Baby Bell US West) and TCI(the stub of spinoff king /cable cowboy John Malone’s empire).  Comcast had stated last month that the spinoff was under consideration. Comcast purchased NBC Universal from GE in 2009.

In a tax free spinoff,  the company “will separate off entertainment and news channels including MSNBC, CNBC, USA, Oxygen, E!, Syfy and Golf Channel. Those assets generated about $7 billion in revenue in the 12 months ended Sept. 30.”  Comcast is expected to retain Bravo, Peacock and the NBC broadcast network.

“Mark Lazarus, who is currently the chairman of NBCUniversal’s media group, with oversight of TV and streaming platforms, will be named chief executive of the new venture. Anand Kini, who has served as chief financial officer of NBCUniversal, will be the CFO and operating chief of the new company. ”

The spinoff is expected to take a year to execute and Comcast Chairman Brian Roberts will retain a 33% voting stake in the new company.

Disclosure: The author owns shares of CMCSA