Comcast said Monday it will split into two companies by spinning off NBCUniversal and Sky into a separate media company, leaving its broadband and wireless businesses under Comcast.
In a statement, the media company said the tax-free spinoff will allow each business to pursue its own strategy, invest for growth and create shareholder value.
Shares of Comcast jumped $4.85, or 21%, to $28.02 in premarket trading.
The separation will create a standalone entertainment and media business under the NBCUniversal brand, which will include its Universal theme parks and its networks, including NBC and Sky. The remaining assets, which will remain under the Comcast name, will include Xfinity, Xfinity Wireless and Comcast Business.
The planned move comes after Comcast announced in November 2024 that it was spinning off cable networks such as USA, Oxygen, E!, SYFY and Golf Channel, as well as CNBC and MSNBC into a new company. Movie ticketing platform Fandango and the Rotten Tomatoes movie rating site were also included.
Like other cable companies, Comcast in recent years has shifted its business emphasis away from traditional cable toward streaming and other sources of revenue, such as its movie studio, theme parks and home wireless and internet services.
Comcast co-CEO Mike Cavanagh will become the CEO of NBCUniversal. Comcast’s former chief financial officer, Michael Angelakis, will become the CEO of Comcast following completion of the separation. In the interim, he will serve as a strategic adviser.
Comcast chairman and co-CEO Brian Roberts will continue to be actively involved in the leadership of Comcast and NBCUniversal, working in partnership with the CEOs of both companies.
Comcast will retain a 19.9% ownership stake in NBCUniversal, the statement said. The transaction is expected to be completed in about 12 months.
contributed to this report.
