Comcast to split from NBC Universal to create two companies

Comcast is splitting its business in two by creating a media and entertainment-focused company called NBC Universal, which will be home to Sky, and a separate entity called Comcast that will house its broadband and wireless business. 

The move comes as the US giant looks to wrap up a £1.6bn deal to buy the broadcast and streaming assets of ITV, which would sit within the new NBC Universal business.  

Alongside Sky’s European assets, that standalone company will also own Universal film and TV studios, NBC and Telemundo networks, streamer Peacock, cablenets such as Bravo and a raft of theme parks.  

The tax-free deal will create two independent companies that will both be publicly traded. Comcast will retain a stake of up to 19.9% in NBCU for a year post-spin off, while Comcast shareholders will own stocks in both Comcast and NBCUniversal.  

The US telco giant said the move would create two “focused industry leaders… with significant scale, strong financial profiles and distinct strategic opportunities.” 

New leadership lined up

Comcast chief exec Brian L. Roberts will be actively involved in the leadership of Comcast and NBCUniversal, working with the latter’s chief exec Mike Cavanagh, who will retain his role, and Comcast’s former chief financial officer Michael Angelakis, who is rejoining the business to become its leader.  

The deal is expected to close in around 12 months and was welcomed by markets, with Comcast shares up 9% in pre-market trading. 

The split comes less than six months since Comcast formally completed the separation of its NBCUniversal cable networks into Versant Media, which is now home to brands such as Oxygen, E! and USA Network. The US telco’s plan to spin off the networks was first revealed in November 2024, as Comcast looked to focus on its Peacock streaming business rather than the declining audiences on cable TV.

Roberts said today’s transaction would “unlock a more entrepreneurial management approach and open up a multitude of new opportunities for each business. I very much look forward to helping guide our collective growth for this next chapter.” 

 “Mike Cavanagh will lead the new NBCUniversal media and entertainment company as CEO. Mike is one of the finest executives I’ve ever worked with and a trusted partner. His vision is for a unique, independent, focused company that will be home to some of the industry’s most valuable brands and assets across theme parks, film, television, streaming, sports and news.  

 “This new company will be well-positioned to pursue the significant opportunities that lie ahead, to partner across the media and entertainment ecosystem, and will be poised to grow. 

 “I am also incredibly pleased to welcome back Michael Angelakis as Comcast CEO. As our widely admired former CFO, Michael’s deep knowledge of the business and passion for technology – combined with the leadership of Steve Croney, Jason Armstrong and the entire Comcast management team – will serve us well as we continue to take bold actions in today’s competitive environment. Our recent momentum is the launchpad to propel our advanced network, substantial customer base, and outstanding products to even greater success.   

 “Michael’s drive, proven track record and the tremendous level of respect he commands within our organization and beyond, make me exceptionally excited to work closely with him again.” 

 Cavanagh added: “Both companies begin this next chapter from positions of strength. Comcast will continue to build on its leadership in connectivity, while NBCUniversal, together with Sky, will have the scale, brands, content and financial resources to compete as a premier global media and entertainment company.  

 “Each organization will continue to be led by a management team with deep industry experience that will benefit from focused strategic priorities and the ability to pursue opportunities most relevant to their businesses. I’m personally thrilled to continue leading NBCUniversal into the future. With our iconic brands and theme parks, leading franchises and incredible creative talent, we are well-positioned for long-term value creation.” 

 Angelakis continued: “I have had the privilege of working alongside Comcast’s talented leadership team for many years, and I am excited to return to partner with Brian, Steve, Jason and the entire organisation. 

 “Comcast’s exceptional assets, entrepreneurial roots, deep customer relationships and strong track record of innovation and technological leadership provide a powerful foundation for the future. Together, we will build on those strengths, execute aggressively, invest for growth, and pursue new opportunities to create value for our customers, colleagues and shareholders.”