Shares of Versant Media Group, home of channels such as USA Network and CNBC, fell more than 10% in its market debut after the spinoff from Comcast, underscoring investor skepticism about traditional TV businesses in the streaming age.

Shares of Comcast rose nearly 1% in early trading on Monday.

The spinoff is Comcast’s response to shifting market dynamics in the media industry, as streaming pushes out traditional cable TV viewers, prompting media companies to rethink their ownership of legacy networks.

The separation will allow Comcast to focus on its streaming, film and TV assets while shedding its declining cable network division — once the core of the company’s business. Comcast first announced plans for the spinoff in late 2024.

Versant owns the NBCU Universal portfolio of networks, which also includes MS NOW – formerly MSNBC – and other iconic brands such as Oxygen, E!, SYFY and the Golf Channel. It is also home to Comcast’s digital assets, including Fandango, Rotten Tomatoes and SportsEngine.

The company’s stock last traded at $41.80.

“Legacy TV networks still generate steady revenue but their future outlook is bleak. It’s hard to get investors excited about businesses whose best days are in the past,” said Ross Baynes, senior analyst for TV and streaming at eMarketer.

Versant is led by Mark Lazarus as Chief Executive. Comcast has said Versant’s properties generate about $7 billion in annual revenue.

The company has a “strong balance sheet” and “significant cash flow”, which positions it to drive shareholder value over the long term, Versant’s chief operating and finance officer Anand Kini said in a statement on Monday.