Politicus USA: MSNBC May Soon Be Gone

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45. There would probably be some adverse tax consequences if they immediately turned around and sold.

By way of an example: Time Warner Inc spun off its cable system properties to its existing shareholder in a tax-free transaction in 2009. The spun off company continued to use the Time Warner name under an agreement with Time Warner Inc. but was a separate company. Seven years later, in 2016, the shareholders of the spun off Time Warner Cable entered into an agreement to merge with Charter Communications. So, at some point, it might make sense for the shareholders of the spun off entity to sell to or merge with another company, but it's unlikely to happen any time soon.