Sports

Madison Square Garden Spinoff Plan Sends Shares to Record High

  • Live-events company would keep famous New York City venues
  • Dolan is expected to be executive chairman of both businesses

Photographer: Reid Kelley/NBAE via Getty Images

Madison Square Garden Co. is looking to spin off its pro-sports franchises, including the New York Knicks and New York Rangers, a bet that it can wring more value from the iconic teams if they’re an independent business.

The proposal would split off the sports teams from MSG’s live-entertainment operations and be structured as a tax-free deal, the company said on WednesdayBloomberg Terminal. Shareholders would receive a two-thirds economic interest in the Knicks and Rangers, as well as the New York Liberty, a women’s professional basketball team that the company has been trying to sell.