MSG Networks +7.4% on report it's looking to sell

|By:, SA News Editor

MSG Networks (NYSE:MSGN) is up 7.4% after the New York Post reported that the company is listening to purchase offers.

It's very early stages, the paper says, but "(James) Dolan's gone to his friends" -- including boardmember and Guggenheim Partners Executive Chairman Alan Schwartz -- to feel it out. The company's EV is about $3B, $1.7B in market cap.

The networks business spun out from the Madison Square Garden sports/entertainment business in late 2015. And “I think the point of the spin-off was to sell the cable business a year or two later,” one analyst says.

Who needs content? Verizon (VZ -0.4%), for one. AT&T (T -0.3%) is a possibility but already owns five regional sports nets and needs to focus on its Time Warner acquisition; Fox Sports (FOX -0.4%, FOXA -0.4%) already covers New York with its YES Network. And Comcast (CMCSA +0.5%), already there with a stake in SNY, may be looking for its own exit.