(Reuters) - MSG Networks Inc (MSGN.N), which operates a cable and television network in New York and some neighboring states, is looking to sell itself and is sounding out suitors, the NY Post reported late on Monday, citing sources.
MSG Networks’ shares jumped as much as 10.8 percent to $25.55 in light premarket trading on Tuesday.
MSG Networks, which owns and operates two regional sports and entertainment networks – MSG Network (MSGN) and MSG+, had a market capitalization of $1.72 billion as of Monday’s close.
MSG Network’ executive chairman, James Dolan, could use the proceeds of a potential sale to help fund a bid for The Garden, a family-controlled entity that owns the Manhattan arena, the New York Knicks, the New York Rangers and other arenas and venues across the United States, the NY Post said.
Dolan also serves as the executive chairman of Madison Square Garden Co (MSG.N), which was spun off from MSG Networks in 2015.
MSG Networks and Verizon declined to comment.
Reporting by Narottam Medhora in Bengaluru; Editing by Savio D'Souza