MSG Networks nears deal to skirt chapter: – Business News
MSG Networks is nearing a deal with its lender JPMorgan that can enable the regional sports activities channel to keep away from chapter — and doubtlessly pave the best way for a merger with the YES Network, The Post has realized.
Under phrases of the deal, MSGN — which carries the Knicks, Rangers, Islanders, Devils, Sabres and Gotham FC — will win a debt refinancing through which JPMorgan agrees to cut back it to round $600 million from a present invoice of roughly $800 million, sources close to the talks mentioned.
In exchange, Knicks proprietor James Dolan — whose Sphere Entertainment owns and controls MSGN — would agree to cut back the rights charges MSGN pays the Knicks and Rangers, growing the community’s skill to make its curiosity fee, the sources mentioned.
James Dolan’s MSG Networks is nearing a deal with its lender JPMorgan that can enable the regional sports activities channel to keep away from chapter. Charles Wenzelberg / New York Post
MSGN and JPMorgan declined to remark.
MSG and YES — which airs the Yankees, Nets and Liberty — now associate on the Gotham Sports App, with entry to each networks costing $41.99 a month. Customers also can elect to pay $29.99 a month for MSG or $24.99 a month for YES.
MSGN had a deadline at midnight on Monday to keep away from chapter, and bought an extension to Thursday because the community and bank feverishly tried to hammer out a truce.
The publicly-traded company has to announce the phrases of any financing modifications earlier than the markets open on Friday.
After the JPMorgan restructuring, Dolan is probably going to begin advertising MSGN for sale, sources mentioned. With this new lighter debt package deal, Dolan hopes to have an simpler time discovering a purchaser.
The cable community is dropping money partly as a result of it paid $187 million in 2025 to broadcast Knicks and Rangers video games as half of a 20-year settlement that ends in 2035, in accordance to public filings.
On the open market, a cable community would pay significantly much less for these rights due to cord-cutting, sources mentioned.
After the JPMorgan restructuring, Dolan is probably going to begin advertising MSGN for sale, sources mentioned. With this new lighter debt package deal, Dolan hopes to have an simpler time discovering a purchaser. Christopher Sadowski
MSGN has been in default since October however has not been put in chapter.
Dolan controls the Knicks and Rangers via the individually publicly traded Madison Square Garden Sports.
