Cablevision Higher On Spin Off Plans (CVC)

Cablevision Systems Corporation CVC is more than 6% higher today, as the company looks to spin off its Rainbow Media unit. Rainbow Media is home to the AMC and Sundance Channel networks. Previously this year, Cablevision spun off its Madison Square Garden unit MSG, which encompasses the New York Knicks and the New York Rangers. Collins Stewart analyst Thomas Eagan was positive on the potential spin off. "We think a standalone Rainbow adds $2 to $3 per Cablevision share should it trade at an 11 times earnings multiple similar to Scripps Networks and Discovery Communications," said Eagan.