Further increase in Viacom Inc. shares was seen this Thursday. The media holding company is going to split its broadcast group from its cable property.

Chairman Sumner Redstone reported that as a result of Viacom splitting two companies will appear: VIA and VIA.B.

Class B shares of the company gained 27 cents to close at $37.32 after the company confirmed the news.

"We believe that a separation of our businesses into distinct and strong operating entities would allow us to optimize our capital structure and create unique investments that are more appealing to investors with different objectives," said Viacom chief executive Sumner Redstone.

"I think it is probably a good idea because Viacom, of all the major entertainment companies, derives far more from advertising than any of the others -- about 48 percent right now," said Harold Vogel, president of Vogel Capital Management, an investment firm that focuses on media companies, based in New York.