Madison Square Garden Sports is planning to separate its New York Rangers hockey operations from its New York Knicks basketball operations into two distinct public entities. The company has filed a registration statement with regulators to establish a new entity for the Rangers, which will also encompass the Hartford Wolf Pack minor league team and the MSG Training Center. The existing company will be renamed MSG Knickerbockers, while the new entity will be named MSG Rangers.

This strategic move aims to create two independent public companies, each focused on managing its respective sports franchise. The separation is anticipated to be structured as a tax-free event for all company shareholders. Upon the completion of this spinoff, shareholders will receive a pro-rata distribution of the new MSG Rangers company's shares, allowing for more focused management and potential investment opportunities for each team.

The proposed structure is expected to provide greater clarity and potentially unlock value for investors by allowing separate valuations of the hockey and basketball businesses. The Knicks, a championship-winning basketball team, and the Rangers, its hockey counterpart, will operate under independent corporate banners following the completion of the tax-free transaction.