Comcast announced a tax-free spin-off of its media assets on Monday. The move separates the firm into two independent, publicly traded companies.
One entity will focus on connectivity businesses including Xfinity broadband and wireless. The second company, named NBCUniversal, will manage film and television studios, theme parks, the Peacock streaming service, and Sky.
Comcast shares rose more than 20% in pre-market trading following the news. Management intends the split to unlock shareholder value and allow each business to pursue independent strategic growth.
The separation is expected to be completed in approximately one year. The transaction remains subject to final board and regulatory approvals.