MSG Sports is splitting the Knicks and Rangers into two separate public companies

Madison Square Garden Sports Corp has approved a plan to spin off its New York Rangers and New York Knicks franchises into separate public firms, with the former set to become the first publicly traded basketball team in nearly 25 years. The New York Knicks NBA spin-off would encompass the Westchester Knicks affiliate, while the New York Rangers NHL team would be merged with the Hartford Wolf Pack affiliate.

The deal, expected to be finalized by the end of the month, is projected to increase the value of the franchise, which was estimated at around $10 billion by Sportico prior to the $12 billion sale of the LA Lakers earlier this year. The New York Kicks, currently valued at $10 billion, will now trade on the New York Stock Exchange as MSG Knickerbockers Corp under the ticker MGSK, while the New York Rangers will be listed as MSG Rangers Corp under the ticker MSGR.

James Dolan, CEO of Madison Square Garden Sports Corp, expressed excitement about the move, stating that both teams have rich histories and dedicated fan bases, and the spin-off will enable each company to generate long-term value for shareholders. As executive chairman and chief of MSG Rangers Corp, Dolan will remain as executive chairman and chief of MSG Knickerbockers Corp. The move may capitalize on the rising interest in sports franchises, as valuations of US teams continue to surge year-over-year, while European football clubs are also seeing their valuations rise, albeit at a lower level compared to North American teams.

A notable minority stake in Liverpool was recently sold to a consortium led by Amazon founder Jeff Bezos for $6 billion.