Jeff..Six Flags/ CP

Is it possible that Cedar Fair could be the victim of a hostile take over by Six Flags?

thanks :)
mikey

Guess this is the stock broker's cue. Dividends from a L.P. are considered return of capital, therefore are not taxable. However, you should consult your tax advisor about the specifics, as Jeff has. (I'm a broker, not an accountant) Because it is a limited partnership, shareholders are limited. Their losses are limited to that invested, however they cannot participate in the decisions of the business. That is taken care of by the general partner. The general partner is liable for all debts and obligations incurred by the partnership. With CF, the gen part. is the board.

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UCSigep
"Did you make a copy? Because if you made a copy, we could watch the copy."

MF 2K1: 2

For most recently reported fiscal year:

Six Flags: $1b revenue vs. $2b debt = 2/1 ratio
Cedar Fair: $.5b revenue vs $.3b debt = 3/5 ratio

Obviously Cedar Fair is in a far superior debt position than Six Flags. Good job, FUN execs! Now just keep the rides coming without raising prices extravagantly...

-- Harley

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CP fan since 68.

Two words....Never Happen

Dosen't it say in CP's book, Queen of American watering places, that in the mid 70's there was some visitors that were very interested in the park, maybe even interested in buying the park! Come to find out these people were from Anhieser-Busch, this was when they started getting into the amusement park buisness. This was before CP became Cedar Fair. Is it harder to buy a limited partnership? What's the difference?

https://www.reuters.com/mar...023-11-01/

the merger talks are apparently on again. With looming Recession driven fears for the companies.
Might hear something as soon as Thursday with CF results.

pros- six flags bathrooms are decades ahead of CP.

cons- everything else.

https://www.wkyc.com/article/entertainment/places/cedar-point/reports-cedar-fair-near-merger-deal-six-flags/95-ea6d734f-463a-4f17-b390-4ae809032e

04

That will suck......

Anything right now is just speculation. The question is, which company would be setting the tone for the combined company? This will be very interesting to watch play out.

Carowinds apparently just postponed their quarterly town hall set for tomorrow. Could be an indication could be nothing.

It looks like the deal is going to happen....

https://www.wsj.com/busines...l-a0126686

Cedar Fair and Six Flags aren’t all that different these days. A merger might make business sense, but I don’t see this as a win for consumers.

^Honestly if they can do a All Parks Pass at a not disgustingly exorbitant price point I think that alone would be a consumer win.

I can't read the wsj article (paywall). But if it's anything like I have read, nothing seems to be sure at all. All that we know is that they are in talks. We don't know who initiated the conversation yet.

It's likely that six flags approached cedar fair and is attempting to spread out their debt via a merger. I'm not sure how this merger would actually benefit cedar fair currently. ( they acquire the debt of their competitor and lessen the value of their product.)

My current guess is that cedar fair will tell sf to kick rocks again.

^Wall Street Journal made this sound like a merger is imminent as long as there is no major snags and could be announced as official as soon as tomorrows CF earnings call. I will get the article as text here in another post.

Most important bit is the first two paragraphs: (Rest is mostly filler about the chains and their valuations; Roughly $2B each)

Six Flags is nearing a deal to merge with Cedar Fair Entertainment FUN, a move that would combine two of the largest regional theme-park chains in the U.S.

An agreement could be finalized as soon as this week assuming there is no last-minute snag, according to people familiar with the matter. Cedar Fair is scheduled to report quarterly results on Thursday morning.

I'm going to be the stick in the mudd. I don't give any weigh to anonymous sources. It could be accurate but to me there isn't any credibility to someone who is "familiar" with the matter. Time will tell though, I could be wrong.

Yeah no. Wall Street Journal and Reuters are absolutely not going to drop this story worded with such confidence if they didn’t have an incredibly solid report from someone. This is like a VP or GM level confirmation(s) for WSJ to run it the way they did.

Assuming that this is a proposal from SIX, I predict that it is Knott going to happen. We've seen this before, and we've seen how it plays out. The financial people are certain that it's going to go through, then it doesn't, usually with FUN replying with something on the order of, "No, and please stop asking."

The financial people always forget that there are more important things at stake here. And besides...the one article I read, which seems to be a source for this whole thing, says FUN, with its 12 parks, is worth about $1.8B while SIX, with 25 parks, is worth about $1.7B. So a dozen parks is worth $-100M?

I really don't know. But I think this is someone...or maybe both companies...posturing ahead of earnings reports. Remember, if the Board of Directors decides that a merger is in the best interests of the company, as I recall it still requires the approval of unit holders. And I suspect that may be difficult if not impossible unless FUN is the controlling interest in the merger. I think it would be far more likely that SIX might decide to shed a few of its parks to become part of FUN. Darien Lake, perhaps? Maybe Discovery Kingdom: The New Six Flags Marine World Africa USA Theme Park? Frontier City? The Great Escape? I could certainly see that happening.

--Dave Althoff, Jr.

    /X\      *** Respect rides. They do not respect you. ***
   /XXX\     /X\     /X\_      _     /X\__      _      _____
  /XXXXX\   /XXX\   /XXXX\_   /X\   /XXXXX\    /X\    /XXXXX
_/XXXXXXX\_/XXXXX\_/XXXXXXX\_/XXX\_/XXXXXXX\__/XXX\__/XXXXXX

WSJ is a legit news organization. They wouldn't publish on rumors alone.

That said, I've been wondering for awhile why Ouimet resigned from the board shortly after securing another three years in the seat. It could just be disagreement, or it could be some big play like this.

I don't see how this really benefits either company, though on the Six Flags side, at least, they'd go from anemic micromanagement to top heavy micromanagement.