Madison Square Garden Entertainment Corp. has agreed to acquire MSG Networks Inc. in an all-stock, fixed exchange ratio transaction.
MSG Entertainment president Andrew Lustgarten said, “MSG Entertainment is actively executing a plan designed to grow the company beyond its established collection of assets into one that is pioneering the next generation of entertainment. We have always believed in the value of live sports and look forward to welcoming MSG Networks back into the fold as part of a transaction that we are confident would enhance our financial flexibility and set the stage for continued growth and value creation.”
MSG Networks President and CEO Andrea Greenberg commented, “We anticipate significant benefits from rejoining MSG Entertainment, including creating a combined company with greater diversification and resources. This would, in turn, help drive new innovative opportunities across both the entertainment and media businesses, ultimately creating significant value for our collective shareholders.”
Moelis & Company LLC and The Raine Group are serving as independent financial advisors and Wachtell, Lipton, Rosen & Katz is serving as independent legal counsel to the special committee of the board of directors of MSG entertainment. LionTree Advisors LLC and Morgan Stanley & Co. LLC are serving as independent financial advisors and Davis Polk & Wardwell LLP is serving as independent legal counsel to the special committee of the board of directors of MSG Networks. Debevoise & Plimpton LLP is serving as legal counsel to the Dolan family.