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MADISON SQUARE GARDEN ENTERTAINMENT NEWS RELEASE MSG Entertainment to Acquire MSG Networks 3/26/2021 Creates Stronger , More Diversified Company with Shared Commitment to Delivering Innovative Experiences Delivers Enhanced Financial Flexibility to Pursue Growth Opportunities Across Entertainment and Media Acquisition Unanimously Approved by Special Committees of Independent Directors and Boards of Directors of Both Companies NEW YORK -- ( BUSINESS WIRE ) -- Madison Square Garden Entertainment Corp. ( " MSG Entertainment " ) ( NYSE : MSGE ) and MSG Networks Inc. ( " MSG Networks " ) ( NYSE : MSGN ) today announced they have reached a definitive agreement for MSG Entertainment to acquire MSG Networks in an all - stock , fixed exchange ratio transaction . This press release features multimedia . View the full release here : https://www.businesswire.com/news/home/20210326005079/en/ The merger is expected to be tax - free for both MSG Entertainment and MSG Networks and their stockholders . Upon the closing of the transaction , MSG Networks stockholders would receive 0.172 shares of MSG Entertainment Class A or Class B common stock for each share of MSG Networks Class A or Class B common stock they own . The exchange ratio is approximately 4 % above the ratio of the unaffected closing stock prices of the two companies on March 10 , 2021 , the last trading day before a press report speculated on a potential transaction . This transaction would create a leading entertainment and media company with a more diversified revenue base that would be well positioned to deliver innovative experiences across all of its assets . The combined company would have a stronger liquidity position to support its live entertainment business , which following the shutdown of 1