MSG Network has reached a deal with JPMorgan to avoid bankruptcy. The deal lowered the Regional Sports Network’s loan with JPMorgan from over $800 million to $210 million.
MSGN, which covers Knicks, Rangers, Islanders, Devils, Sabres, and Gotham FC, were reported to be meeting yesterday, ahead of a deadline of Monday at midnight, with an extension giving them until Thursday to make a deal to avoid bankruptcy.
With the new deal, Dolan has agrees to reduce the rights fees paid to the Knicks and Rangers, allowing the network to more easily make its interest payment, according to sources for the New York Post.
Knicks owner James Dolan, who owns Sphere Entertainment, which controls MSGN, will reportedly be looking for a buyer for the network and hopes the lower debt will help.
One option for MSG’s future is a merger with YES Network, the RSN for the Yankees and Brooklyn Nets. The two networks came together last year to form the Gotham Sports App, a streaming app that allows New York sports fans to get both networks as a bundle. A YES subscription alone costs $24.99 per month and an MSG+ subscription is $29.99 per month, but combining them with a Gotham subscription costs $41.99, a $12.99 per month savings for fans who want access to both.