PHILADELPHIA, Pennsylvania: Comcast will split its broadband business from NBCUniversal and Sky, creating two separately traded companies in a major restructuring aimed at sharpening each business's focus as the media industry adapts to streaming competition and consolidation.

The company announced on June 29 that the tax-free spinoff will separate its broadband, wireless and business services operations from its media and entertainment assets, which include Universal theme parks, film and television studios, NBC, Peacock and European broadcaster Sky.

Shares of Comcast rose nearly eight percent following the announcement. The stock had fallen more than 17 percent this year through June 26 after declining in each of the previous two years.

The move unwinds 15 years of combining content creation with distribution, a strategy that has come under pressure as streaming services reshape the entertainment industry and traditional cable television continues to lose subscribers.

Comcast CEO Brian Roberts, who acquired NBCUniversal in 2011 in a deal valuing the company at nearly US$40 billion, said the separation would better position both businesses for future growth.

"The transaction we are announcing will unlock a more entrepreneurial management approach and open up a multitude of new opportunities for each business," Roberts said.

Roberts will remain actively involved with both companies after the split and will retain significant voting control through Comcast's dual-class share structure.

Under the plan, Comcast Co-CEO Mike Cavanagh will lead the new NBCUniversal, while former Chief Financial Officer Michael Angelakis will return as Comcast CEO. Shareholders will receive stock in both companies when the separation, expected within a year, is completed.

Comcast will retain a stake of up to 19.9 percent in NBCUniversal for up to one year after the spinoff, then gradually sell its remaining shares.

Analysts said the separation could eventually make NBCUniversal an attractive acquisition target, particularly after Paramount acquired Warner Bros. Discovery earlier this year.

"NBCU will become M&A target eventually. Netflix would likely have interest in the studio," said Ross Benes, senior analyst at eMarketer.

"But I don't expect them to bid on the entire media company and it is unclear if NBCU would be willing to do another split to separate the studio from the rest of the media business."

Comcast executives dismissed speculation about a future sale, saying, "Absolutely not."

"This is the right move to put each company in the strongest position to create value, fully monetize its assets, and aggressively pursue its own organic growth strategies."

NBCUniversal's studio business, which includes Universal Pictures, DreamWorks Animation and Focus Features, generated $11.29 billion in revenue last year. The media division, including NBC and Peacock, contributed $27.09 billion, while theme parks generated $9.84 billion. Comcast's connectivity business, which will remain with the parent company, produced $70.7 billion in revenue, accounting for more than half of the group's total sales.