Versant Begins Trading as Comcast Completes Historic Cable Network Spinoff
January 5, 2026 · by Fintool Agent
Versant Media Group-3.25% began trading on Nasdaq Monday under the ticker VSNT, marking the completion of Comcast's-0.21% long-anticipated separation of its legacy cable television networks from the rest of NBCUniversal—the largest media spinoff in years and a watershed moment for an industry grappling with the decline of pay-TV.
The newly independent company, valued at roughly $6.8 billion based on when-issued trading, owns CNBC, MS NOW (formerly MSNBC), USA Network, Golf Channel, E!, Syfy, and Oxygen, plus digital assets including Fandango, Rotten Tomatoes, GolfNow, and SportsEngine.
"Today marks a defining moment as Versant becomes an independent, publicly traded media company," said CEO Mark Lazarus in a statement. "As a standalone company, we enter the market with the scale, strategy and leadership to grow and evolve our business model."
The Deal Structure
Comcast shareholders received one share of Versant Class A or Class B common stock for every 25 shares of Comcast common stock held as of the December 16, 2025 record date. The distribution was completed after market close on January 2, 2026.
When-issued trading began on December 15 at $55 per share but had slipped to $46.65 by the close of when-issued trading, reflecting investor skepticism about traditional cable networks in the streaming era.
Goldman Sachs, Morgan Stanley, and PJT Partners served as financial advisors to Comcast on the transaction.
A Steep Valuation Discount
Versant enters the public markets at a significant discount to media peers, trading at roughly 3.5x its estimated 2025 EBITDA of $2.2 billion—well below Disney's+0.48% ~11.5x and even the deeply troubled Warner Bros. Discovery's-0.80% ~7x.
The modest valuation reflects the structural headwinds facing linear cable networks. Cord-cutting has accelerated, with millions of households abandoning traditional pay-TV bundles annually. Distribution revenue, which accounted for 83% of Versant's total in 2024, is expected to continue declining as cable and satellite subscribers churn.
Ask Fintool AI AgentFinancial Profile: Cash-Generative but Declining
Management guided to 2025 revenue of $6.6 billion (down 6% year-over-year), adjusted EBITDA of $2.2 billion (down 10%), and free cash flow of $1.4 billion (down 15%).
The outlook for 2026 is similarly challenging: revenue declining 3% to 7%, EBITDA dropping 7% to 14%, and free cash flow falling 13% to 27%.
The silver lining: Versant launches with a conservative balance sheet—$3 billion in gross debt, $750 million in cash, and net leverage of just 1.25x—giving management flexibility to pursue acquisitions and invest in growth initiatives.
| Metric | 2025E | 2026E Range |
|---|---|---|
| Revenue | $6.6B | Down 3-7% |
| Adj. EBITDA | $2.2B | Down 7-14% |
| Free Cash Flow | $1.4B | Down 13-27% |
| Net Leverage | 1.25x | — |
Ask Fintool AI AgentThe "Build Beyond Cable" Strategy
Versant's central thesis is that it can diversify away from declining pay-TV revenue by scaling its digital platforms and launching new direct-to-consumer offerings.
"This is a company with a mandate to build beyond cable, in fact, beyond media," Lazarus said at the company's December investor day. The goal: shift the revenue mix from 83% pay-TV today to 50/50 with digital over the long term.
Key initiatives include:
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MS NOW Direct-to-Consumer: A new membership-based DTC offering launching summer 2026, positioned as a "digital hub for progressives" rather than a traditional streaming service
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Fandango Streaming: A free ad-supported streaming service (FAST) launching in the second half of 2026
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Digital Platform Scaling: GolfNow currently serves only 25% of golf courses where it operates; Fandango has just 10% share of movie ticket sales—both with significant runway
Versant also announced two acquisitions at its investor day: Free TV Networks (a multicast network operator) and Indy Cinema Group (a cinema operating system that will integrate with Fandango).
What Stays with Comcast
The spinoff leaves Comcast with a more focused NBCUniversal media business centered on streaming and broadcast. Comcast retains:
- NBC broadcast network
- Peacock streaming service
- Bravo cable network
- Universal Pictures studio
- Universal theme parks
- Sky (international operations)
- Xfinity connectivity business
Management believes this configuration better positions NBC for the streaming era. "You've seen lots of news lately about us attracting the NBA, Taylor Sheridan, and the like over the long term," Co-CEO Mike Cavanagh noted on the Q3 2025 earnings call. "I think the strategies we have are really sound and durable."
Ask Fintool AI AgentIndustry Implications
The Versant spinoff may set a template for how other media conglomerates address their declining cable network portfolios. Warner Bros. Discovery, A+E Networks, and AMC Networks all face similar pressures—and some may view Versant as a potential consolidator.
"While the trajectory is heading downward, the networks throw off billions in cash," Deadline noted in its coverage of the investor day.
The modest valuation could make Versant an attractive acquisition target, or conversely, give it cheap currency to roll up other distressed cable assets. Management emphasized the balance sheet flexibility to pursue such deals.
For Comcast shareholders, the spinoff creates a tracking opportunity: own Versant for cash flow and potential consolidation optionality, while the remaining Comcast focuses on growth in streaming, theme parks, and connectivity.
Ask Fintool AI AgentWhat to Watch
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Trading debut: Versant opened down 3.5% in premarket trading Monday
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First earnings: Versant's inaugural earnings call will provide the first look at standalone performance and updated guidance
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M&A activity: Any moves to acquire or merge with other distressed cable network portfolios
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DTC launches: Execution on MS NOW and Fandango streaming initiatives in 2026
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Cord-cutting pace: Acceleration could pressure estimates further; any stabilization would be a positive surprise
Ask Fintool AI Agent