Comcast’s spinoff entity could buy more networks, work on streaming service – report

The networks-focused entity spun out of Comcast (NASDAQ:CMCSA) will look at beefing up its portfolio with other cable channels, specializing in documentaries or food-related shows, among some options, Bloomberg reported Thursday, citing sources.

Sources told Bloomberg that the unnamed spinoff entity could also create its own streaming business or packages of channels for online distributors like Amazon.com Inc.

The entity will likely negotiate its own distribution deals with pay-TV distributors when its current contracts run out, the report said.

After hinting it on the company’s third quarter earnings call, the media and cable giant on Wednesday confirmed that it will pursue a tax-free spinoff of some of NBCUniversal’s assets, including USA Network, CNBC, MSNBC, Oxygen, E!, SYFY, and Golf Channel. Among digital assets, it will unload Fandango and Rotten Tomatoes, GolfNow, and SportsEngine.

The company is holding on to NBC broadcast network and the cash-bleeding Peacock streaming service; both of which are popular with sports content. Reality TV channel Bravo and Spanish-language network Telemundo will also be excluded from the spinoff process, for their growth potential.

Chairman Brian Roberts is expected to have a similar holding in the new entity as he currently does in Comcast: a one-third voting stake, the report said.

A Variety report from Wednesday claimed incoming CEO of the new entity, Mark Lazarus, told employees that a new name for the MSNBC news network could be among the possible changes.