Hartford Wolf Pack parent moves forward with sports, entertainment split

Photo | Contributed The Hartford Wolf Pack are home to downtown's XL Center.

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By Joe Cooper

Owners of the Hartford Wolf Pack American Hockey League franchise say they are moving forward with a proposal to separate their sports and entertainment businesses.

The Madison Square Garden Co. (MSG), which also owns the New York Rangers and New York Knicks, announced Thursday it filed a Form 10 Registration Statement with the U.S. Securities and Exchange Commission (SEC). The document is used by companies to register a class of securities with the SEC.

MSG officials say the split is expected to be completed during the first half of 2019 subject to closing conditions.

Under the proposed separation, MSG plans to create a separately traded company that includes its sports businesses. MSG’s board of directors had previously approved exploring the spin-off.

The deal, MSG officials say, would allow investors to evaluate each segment’s assets and financial potential and provides additional flexibility to the companies. Officials say the separation is structured as a tax-free transaction to MSG shareholders.

MSG CEO James L. Dolan is expected to become chief executive for both companies, with his family maintaining majority voting control of each business segment.

The sports company would include the following:

The New York Knicks and its development team, the Westchester Knicks.
The New York Rangers and the Hartford Wolf Pack.
The New York Liberty professional WNBA sports franchise, which MSG is exploring a sale.
Knicks Gaming, the official NBA 2K esports franchise of the New York Knicks, and a majority interest in esports organization Counter Logic Gaming.
A professional sports team training center in New York.

The entertainment company is expected to include:

Venues including New York's Madison Square Garden, the Hulu Theater at Madison Square Garden, Radio City Music Hall and Beacon Theatre; the Forum in Inglewood, Calif.; The Chicago Theatre; and the Wang Theatre in Boston.
MSG Bookings, which fills MSG's venues with a variety of entertainment events.
MSG Productions, which includes the Radio City Rockettes and the Christmas Spectacular.
Majority interests in hospitality group TAO Group and Boston Calling Events, the producer of the Boston Calling Music Festival.
A one-third economic interest in the pure-play sports company and $1 billion in cash.

Founded in 1926 as the Providence Reds, the Hartford Wolf Pack franchise moved to Hartford in 1997 and now operates as the New York Rangers’ top affiliate team.

The Wolf Pack begin their 76-game regular season Friday at 7:15 p.m. at Hartford’s XL Center vs. the Providence Bruins.