Comcast is spinning off its cable channels into a separate company as it looks to grow

Cable television has long been considered a stagnant business, with little promise of growth. However, Comcast believes it has found a new opportunity for growth.

On Wednesday, the company announced that it is spinning off NBCUniversal’s cable television networks — such as CNBC, E!, Golf Channel, MSNBC, Oxygen, SYFY, and USA Network — into a separate publicly traded company. It also includes digital assets such as GolfNow, Fandango, Rotten Tomatoes, and Sports Engine.

This bold navigation strategy could set a precedent for how other media companies manage cable channels.

It may seem like this shift is Comcast’s way of getting rid of assets that are depreciating in broadcast time. However, Comcast says the new independent company – which it calls SpinCo – will have “significant scale” and is well positioned to succeed because of its portfolio of leading news, sports and entertainment.

Other benefits the company expects are a good return policy to increase shareholder value and “financial flexibility to pursue growth opportunities,” the company explained. Comcast says that, in the 12 months ending Sept. 30, SpinCo generated about $7 billion in revenue.

“This transaction puts SpinCo and NBCUniversal at a disadvantage in the changing media landscape,” Comcast president Mike Cavanagh said in a statement. “Integrated together, all of NBCUniversal will be on a new growth path, fueled by our world-class content, technology, IP, properties, and talent – ​​all working together as an integrated media company.”

Mark Lazarus, chairman of NBCUniversal Media Group, will serve as SpinCo’s chief executive officer.

The spin-off is expected to be completed within one year.