Versant launches, Comcast spins off E!, CNBC and MS NOW

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Comcast has created a new, independent company called Versant Media Group, which now owns its cable channels like CNBC and MS NOW.

The deal closed on Friday, but when Versant’s stock began trading on Monday, it fell sharply. This drop will be a crucial indicator of whether investors still see value in traditional cable channels.

The initial outlook wasn’t pretty, providing awkward moments for CNBC anchors reporting the story.

Versant’s stock price dropped around 14% to about $40 per share by midday. The stock had started the day on the Nasdaq at $45.17.

Comcast decided to sell most of its cable channels, keeping only Bravo! due to declining investor confidence and a growing number of people switching to streaming services. Despite still making a profit, the cable business is shrinking, prompting this change.

Hollywood Inc.

The planned separation of Comcast’s cable channels highlights who’s succeeding and struggling as the cable TV industry deals with growing challenges.

Investors will be paying close attention to Versant’s performance as Warner Bros. Discovery prepares to split its cable networks—like CNN, TBS, and Food Network—from its film and television studios, including Warner Bros. and HBO, later this year. Warner Bros. Discovery CEO David Zaslav’s planned split, set for this summer, is facing opposition from Paramount, owned by the Ellison family, who have made an unsolicited offer to buy the entire company.

Warner Bros. Discovery has agreed to sell itself to Netflix in an $82.7-billion deal.

Over the past few years, cable channels have become less popular with investors. This contributed to Paramount being considered for sale two years ago, as channels like Nickelodeon, Comedy Central, and MTV were underperforming.

Hollywood Inc.

Netflix is interested in acquiring Warner Bros. and HBO, but Paramount Global is also making its own offer to take over the company, even though it wasn’t initially welcomed. Here’s a look at how things have unfolded so far.

As a big fan of what’s happening in TV and streaming, I’ve been paying attention to Versant, the company behind a ton of stuff I watch. The folks running the show, including Mark Lazarus who’s a veteran from NBCUniversal, seem really confident about their financial health and where things are headed. And it’s not just one channel – they own a huge portfolio, including USA Network, Golf Channel, Oxygen, E!, SYFY, and even popular sites like Fandango and Rotten Tomatoes. They’re also involved in golf and youth sports with GolfNow, GolfPass, and SportsEngine, so they’re really covering a lot of ground.

Versant CEO Lazarus announced Monday that the newly independent company is well-positioned for growth, possessing the necessary size, plan, and leadership to succeed and adapt its business.

As a result of the spinoff, Comcast stockholders received one share of Versant stock – either Class A or Class B – for every 25 shares of their existing Comcast stock (either Class A or Class B). These Versant shares were distributed to investors after Comcast’s stock trading ended on Friday.

Comcast gained about 3% on Monday, trading at about $28.50.

Comcast Chairman Brian Roberts maintains Versant’s controlling shares.

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2026-01-05 22:01