Sphere Jumps After MSG Networks Reaches Restructuring Deal (2)

(Updates stock move; adds Seaport comments.)

Sphere Entertainment shares surge as much as 13% in Friday trading after the company’s wholly-owned unit MSG Networks reached a deal to restructure the debt of its subsidiaries and amend the media rights agreements with the New York Knicks and the New York Rangers.

• Seaport Research analyst David Joyce (buy, PT $52) notes that the debt workout resulted in a $514 million reduction in debt to $210 million for MSGN, which he considers to be a “better-than-base-case” result
  • “Investors can now return their focus to the growth opportunities at the Sphere”
• Deal with MSG ...