Madison Square Garden Entertainment Corp. on Thursday announced it has settled a series of lawsuits from shareholders in connection with the rising cost of its MSG Sphere at The Venetian.
In a Securities and Exchange Commission filing, the company said it would pay $48.5 million to four shareholder groups that filed lawsuits in a class action in the Delaware Court of Chancery.
The company did not admit liability in the settlement. The plaintiffs alleged that the MSG Networks board of directors and controlling stockholders breached their fiduciary duties in negotiating and approving a merger with MSG Entertainment in a cost-saving move.
Four different shareholder groups filed actions beginning June 29, 2021, and the cases were consolidated October 29, 2021.
