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MSG Shares Drop After Knicks Ditch D'AntoniApparently Madison Square Garden investors were also Mike D’Antoni fans.
Shares of MSG, which owns the arena where the New York Knicks and has interests in media, sports and entertainment, dropped sharply Wednesday afternoon when Yahoo! Sports reported the basketball team was parting ways with its coach.
The stock fell more than 3.5% to session lows on the news, but recouped some of the loss to trade at $32.50, down 1.5%, with an hour left in the trading day.
MSG shares enjoyed a nice run starting in early February, when point guard Jeremy Lin became an overnight sensation, but after the stock peaked at $33.49 Feb. 22 both the team and the stock have been scuffling. The Knicks have only won one game since, leading to the departure of D’Antoni.
Linsanity, as the Lin phenomenon quickly became known, was credited (perhaps overly so) for resolving a dispute under which Time Warner Cable cut off the MSG network for subscribers in the New York City area for 48 days during a disagreement over carrying rates.
http://www.forbes.com/sites/steveschaefer/2012/03/14/msg-shares-drop-after-knicks-ditch-dantoni/?partner=yahootix
3/14/2012 4:44 PM
