SBD/1/Franchises

NBC PURCHASES OWNERSHIP STAKE IN MADISON SQUARE GARDEN

          An agreement yesterday between NBC and Cablevision
     "converted" NBC's stakes in cable services owned by
     Cablevision's Rainbow Programming Holdings "into 25 percent
     of Rainbow itself," according to Richard Sandomir of the
     N.Y. TIMES.  Rainbow owns 50% of MSG and has agreed to
     purchase the rest from ITT by '99.  By owning 25% of
     Rainbow, NBC will "ultimately own" 25% of MSG.  Sandomir:
     "The possibility that Rainbow, with the Garden as one of its
     assets, could go public is intriguing" (N.Y. TIMES, 4/1). 
     The agreement did not include a cash transaction and NBC
     will assume no debt.  NBC said future projects with Rainbow
     "could include" new cable networks and local TV programming
     (Mark Robichaux, WALL STREET JOURNAL, 4/1).

Return to top
Video Powered By - Castfire CMS Powered By - Sitecore

Report a Bug