Engle Capital Short On MSG Networks Inc (MSGN) Hurts Portfolio

Does a recent MSGN short represent a top in cable content pricing power?

The proposed AT&T / Time Warner merger, which in part centers on the continued high value of premium media content, comes as Engle Capital Management, a hedge fund founded by former Scout Capital partners,  has an alternative viewpoint of sorts. Jeff Helman’s $186 million hedge fund looks at the “content is king” moat and in the case of MSG Networks (MSGN) and doesn’t like the thesis. There are limits to how far the king can push.

MSGN short hurting Engle for now, as Heiman thinks sports programming has hit a ceiling

In an October 20 letter to investors...