The Madison Square Garden Company announces a business separation plan, and Wall Street promotes it. In fact, the company linked to the historic New York arena recorded a rise of around 10% on the Stock Exchange the day after the announcement.
The company, as mentioned, is seriously evaluating a possible division between sports activities (Madison is the home of the Knicks and Rangers, as well as hosting numerous other sports events) and those related to entertainment, and especially concerts .
It is a strategy, that of the spinoff, very popular among American companies, which seem to have rediscovered the advantages of being smaller and more focused.
Madison Square Garden has announced that it has been considering separating since July. As also stated by the CEO of the company Tad Smith: “We are exploring the opportunity to improve on the basis of the excellent shareholder return created since the split of Madison Square Garden into two companies four years ago, each with its distinct value for investors".
Madison Square Garden will host the debut of the New York Knicks in the NBA season today, against the Chicago Bulls of the revived Derrick Rose.
Last night, however, the first three games of the new season took place: the New Orleans Pelicans, the Houston Rockets and the defending champions San Antonio defeated Orlando Magic, the decayed Los Angeles Lakers and Dirk Nowitzki's Dallas Mavericks respectively.
Attachments: The New York Times article
