The MSG network is approaching a contract with lender JPMorgan, which allows local sports channels to avoid bankruptcy, and could pave the way for a merger with the YES network, the post learned.
Under the terms of the contract, MSGN carrying Knicks, Rangers, Islanders, Devils, Sabers and Gotham FC wins debt refinances that JPMorgan agrees to cut from its current bill of around $800 million to about $600 million.
In exchange, James Dolan, owner of Knicks, where Sphere Entertainment owns and manages MSGN, agrees to reduce the rights charges that MSGN pays to the Knicks and Rangers, and to increase the network’s ability to pay interest, sources said.
MSGN and JPMorgan declined to comment.
Yes, MSG, which airs Yankees, Nets and Liberty – currently a partner in the Gotham Sports app, accessing both networks for $41.99 a month. Customers can also pay MSG $29.99 a month or $24.99 a month on YES.
MSGN received an extension until Thursday as a deadline was midnight on Monday to avoid bankruptcy, and the network and banks were enthusiastically trying to attack the ceasefire.
Public companies are required to announce terms of funding changes before the market opens on Friday.
After the JPMorgan restructuring, Dolan is likely to start selling MSGN marketing, sources said. With this new light debt package, Dolan hopes it will make it easier to find a buyer.
According to the release, the cable network has lost money as it paid $187 million in 2025 to air as part of a 20-year contract that ends in 2025.
In the open market, cable networks will pay significantly less for these rights due to cord cutting, sources said.
MSGN has been defaulting since October, but it has not been bankrupt.
Dolan controls the Knicks and Rangers through the individually publicly available Madison Square Garden Sports.
