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