Cedar Truthful and Six Flags are merging to create an expansive amusement park operator with operations unfold throughout 17 U.S. states and 3 international locations.The mixed corporate, price greater than $3.5 billion, will boast 27 amusement parks, 15 water parks and 9 lodge homes within the U.S., Canada, and Mexico. It’s going to even have leisure partnerships and a portfolio of highbrow belongings together with Looney Tunes, DC Comics and Peanuts.Amusement parks have observed an uptick in earnings however have struggled to lift attendance because the pandemic, whilst different leisure sectors have bounced again. A tie-up between two large avid gamers is anticipated to no less than decrease prices.Cedar Truthful reported an attendance of 12.4 million visitors in its 0.33 quarter, a 1% build up from a yr previous. Six Flags introduced a 16% upward push in its third-quarter attendance, which totaled 9.3 million visitors.Six Flags and Cedar Truthful, that have little geographical overlap, wait for $120 million in value financial savings inside two years of last the deal.Guests walk throughout the Previous West Ghost The town at Knott’s Berry Farm, owned and operated through Cedar Truthful, on Would possibly 29, 2021 in Buena Park, Calif.Allen J. Schaben / Los Angeles Occasions by means of Getty Photographs fileUnder the settlement introduced Thursday, Cedar Truthful unitholders will obtain one proportion of not unusual inventory within the mixed corporate for each and every unit owned, whilst Six Flags shareholders will obtain 0.5800 stocks of inventory within the mixed corporate for each and every proportion owned.Cedar Truthful unitholders will personal roughly 51.2% of the mixed corporate, whilst Six Flags shareholders will personal about 48.8%.Really helpful“Our merger with Six Flags will deliver in combination two of North The united states’s iconic amusement park firms to ascertain a extremely diverse footprint and a extra tough working style to strengthen park choices and function,” Cedar Truthful CEO Richard Zimmerman stated in a ready commentary.Zimmerman might be president and CEO of the mixed corporate. Selim Bassoul, president and CEO of Six Flags, will develop into government chairman.The firms stated that given their broader geographic footprint as a unmarried corporate, seasonal volatility will have to average.The corporate’s newly shaped board will come with six administrators from Cedar Truthful and 6 administrators from Six Flags.The corporate might be headquartered in Charlotte, North Carolina, and can stay vital finance and administrative operations in Sandusky, Ohio, the place Cedar Truthful is primarily based.Six Flags is now primarily based in Arlington, Texas.As soon as the deal closes, the mixed corporate will perform below the title Six Flags and industry below the ticker image “FUN” at the New York Inventory Change.The transaction, which was once authorized through each firms’ forums, is concentrated to near within the first part of subsequent yr. It nonetheless wishes approval from Six Flags shareholders.Stocks of Six Flags Leisure Corp. and Cedar Truthful LP have been necessarily flat earlier than the hole bell Thursday, however each are up greater than 9% this week after rumors of a deal started to unfold.
