Comcast (CMCSA) announced Monday it plans to split into two publicly traded companies by spinning off NBCUniversal and Sky after 15 years of joint ownership.
The move will separate Comcast’s media and entertainment assets from its broadband and wireless business, marking one of the biggest corporate restructurings in recent media history.
Comcast’s stock surged more than 22% in pre-market trading following the announcement, marking its best single-day performance in 18 years.
The newly spun-off NBCUniversal entity will include theme parks, Universal film and television studios, NBC, Telemundo, Peacock, Bravo, and Sky, the British broadcaster acquired in 2018.
Comcast intends to structure the transaction as a tax-free spin-off, meaning shareholders will own stakes in both the new NBCUniversal company and the remaining Comcast entity after completion.
The split will create “two focused industry leaders, each with significant scale, strong financial profiles and distinct strategic opportunities,” the media conglomerate said in its announcement.
Comcast co-CEO Mike Cavanagh will become the CEO of NBCUniversal, while former chief financial officer Michael Angelakis will take over as CEO of Comcast once the separation is complete.
The Roberts family will retain control of both companies, with Brian Roberts remaining actively involved across both organizations as the new structure takes shape.
NBCUniversal will carry the same dual-class share structure as Comcast, with Roberts retaining approximately one-third voting control through his ownership of Class B super-voting shares.
Comcast will hold a 19.9% ownership stake in NBCUniversal following the transaction, which is expected to close within approximately 12 months of the announcement.
“Both companies begin this next chapter from positions of strength,” Cavanagh said, adding that NBCUniversal will have “the scale, brands, content and financial resources to compete as a premier global media and entertainment company.”
The announcement comes just months after Comcast shed most of its cable TV business into Versant Media, which also absorbed MSNBC and CNBC in a prior restructuring move.
The NBCUniversal spin-off represents the latest major shake-up in a rapidly consolidating media industry, following Paramount Skydance’s agreement to acquire Warner Bros. Discovery for $110 billion.
The Justice Department signed off on that Paramount Skydance and Warner Bros. Discovery merger earlier this month, signaling continued regulatory tolerance for large-scale media consolidation.
