---
schema_version: "secwatch.filing_event.v1"
accession: "0001193125-23-103834"
form_type: "8-K"
ticker: "SPHR"
cik: "0001795250"
company_name: "Sphere Entertainment Co."
filed_at: "2023-04-17T23:59:59+00:00"
generated_at: "2026-06-17T01:27:06.250030+00:00"
event_type: "m_and_a"
sentiment: "neutral"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# MSG Entertainment to sell 66.9% stake in Tao Group Hospitality for $550M valuation

## Summary
- Sale to Mohari Hospitality; net proceeds expected ~$300M; closing targeted May 2023.
- Tao Group Hospitality valued at $550M; MSGE owns 66.9% via subsidiaries.
- Fiscal 2022 revenue of $485M, operating income $37M, adjusted operating income $67M.
- Proceeds to be used for general corporate purposes and Sphere initiatives.
- Multi-year consulting, marketing, and support services agreements with Tao after close.

## SEC filing metadata
- accession: 0001193125-23-103834
- form_type: 8-K
- ticker: SPHR
- cik: 0001795250
- company_name: Sphere Entertainment Co.
- filed_at: 2023-04-17T23:59:59+00:00
- event_type: m_and_a
- sentiment: neutral
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 1.01, 7.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1795250/000119312523103834/0001193125-23-103834-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1795250/000119312523103834/d172202d8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001193125-23-103834
- JSON: https://secwatch.observer/filing/0001193125-23-103834.json
- Plain text: https://secwatch.observer/filing/0001193125-23-103834.txt

## Key facts
- Material Agreements
  Sphere Entertainment Co. entered into Transaction Agreement with Disco Ball Intermediate, LLC valued at $550,000,000 enterprise value (effective 2023-04-17).
  - Action: entry
  - Agreement: asset purchase
  - Counterparty: Disco Ball Intermediate, LLC
  - Value: $550,000,000 enterprise value
  - Effective: 2023-04-17
  source text: The sale is being made pursuant to the Transaction Agreement (the “ Transaction Agreement ”) dated as of April 17, 2023, by and among TAO Group Hospitality, the Buyer, the Sellers and MSG Entertainment Group, LLC, solely for the purposes set forth therein, and such other parties named in the Transaction Agreement, pursuant to which, among other things, the Sellers are selling all of the issued and outstanding limited liability company interests of Tao Group Hospitality (other than rollovers by certain members of management of a portion of their interests) to the Buyer in a transaction valuing TAO Group Hospitality at $550.0 million, subject to certain customary purchase price adjustments.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1795250/000119312523103834/0001193125-23-103834-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.