Financial Times: Comcast to spin off NBCUniversal and Sky

But analysts at MKI Global Partners said it made it more likely that Comcast would seek telecoms deals to bolster its connectivity business without the regulatory issues caused by owning the TV channels.

“The announced spin matters less as a portfolio clean-up and more because it changes the regulatory case around any Comcast-led transaction,” David O’Hara, managing director at MKI, said in a note, mentioning potential targets such as Optimum Communications and Charter Communications. “Comcast can once again play a role of consolidator.”

MKI added that Comcast would also face fewer political problems once the media business is spun out, with President Donald Trump frequently taking aim at TV networks that he sees as having been critical of his administration.

Published by and image courtesy of Financial Times