Six Flags possible sale of company

[KiDFoX]

Six Flags is looking at a possible sale of the company to block a takeover bid by Dan Snyder owner of the Washington Redskins.

This is sparking speculation and rumor that Cedar Fair LP will try to purchase Magic Mountain in Valencia California as well as other properties from Six Flags. Cedar Fair has a business model of slow but steady growth and a number of major acquisitions at one time would seem unlikely however purchasing parks in Southern California or other areas where Cedar Fair already has properties opens up marketing and promotional possibilities that seem hard to ignore. Currently Cedar Fair does most of the marketing for its three Soak City parks in Southern California on the same radio spots which is a substantial cost savings to marketing individually.

Package deals and passes and bundling Magic Mountain advertising with Knott's Berry Farm would benefit both parks and encourage visits to both parks. Might make enough sense to see it happen.



In the interest of full disclosure KiDFoX would like you know he is a shareholder in Cedar Fair LP.
Six Flags Deep Sixed (http://investors.sixflags.com/phoenix.zhtml?c=61629&p=irol-newsArticle&ID=749370&highlight=)

[WoddenWarior]

...and where have you been?

[KiDFoX]

sitting arond all day waiting on a network providers tech support to call on a down location and never getting a call, where have you been?

Yeah I noticed after I started to type that this had been discussed before in various ways but I am not sure if the link to Six Flags official anouncement had been posted so I posted anyhow. You can sue me, I have more money than Six Flags, my lunch cost more than a share of their stock...

[Harpo]

99% of the planet has more money than Six Flags!

Long before this announcement, however, there have been rumors that Cedar Fair's been talking to Six Flags about a multi-park deal. The thoughts were a 3 park package. Hmmmm, buy 2, get 1 free? ;) Anyway, I wouldn't be surprised if it happens, although, thanks to Geauga Lake, Cedar Fair now knows just how much work a Six Flags park needs to get it up to Cedar Fair's standards. (They've already put $30 million into repairs at Geauga Lake, and more work is needed.)

Oh, incidentally, I own shares of both Cedar Fair and Six Flags, as well as GE (owners of Universal).

[alpengeist04]

Originally posted by Harpo
99% of the planet has more money than Six Flags!

Long before this announcement, however, there have been rumors that Cedar Fair's been talking to Six Flags about a multi-park deal. The thoughts were a 3 park package. Hmmmm, buy 2, get 1 free? ;)

If the rumor is true, I'm curious to which parks were discussed. Hopefully, SFNE would be one. Then CF would have the #1 and 2 steel coasters.;)

[SFA PKD Fan]

I'm hoping they'll pick up SFA.....then maybe we'll finally start getting coasters again.

[KiDFoX]

Since SF New Orleans needs major clean up and renovation now maybe they will get that one?

My guess is the ones they might have the most interest in would be Magic Mountain, Six Flags Great America, and Six Flags New England or Great Adventure but you never know. One thing about Cedar Fair they probably aren't likely to do anything they don't believe won't make money and SF has a lot of properties that are money losers that will be looked at closely.

I think the only hope for the parks is someone like Cedar Fair or Disney taking over the larger parks. Some should probably just be closed and the land sold. Some could go to family operations, family owned parks make up a significant portion of the industry they just go unnoticed by a lot of people who focus in on SF or Disney.