[Diamondback FOF]

Cedar Fair sale in works

So, Cedar Fair may be sold with a sale worth about $2.3 million with them being payed $700 million, plus the new company, Apollo Entertainment LP, assuming the $1.6 billion in debt CF currently holds. What do you guys think?


*I got the article from KICentral

[CarolinaCoasterFreak]

Well I think that with that much debt, Cedar Fair was digging it's own grave when it got the bright idea to make two Intimidators. On the other hand, I couldn't be happier they built one of them here! Would anything actually change in Carowinds if Apollo does buy them?

BTW Diamondback, you barely beat me to posting this subject.

[Diamondback FOF]

On buying Intimidators, CF tries to cancel/delay one or both of the coasters (I can't remember what it was exactly; I believe it was cancel Intimidator 305, and maybe Carowinds')

As far as changes, maybe, maybe not. I don't know much about the company or subject at hand (I don't know how deals like this work), but I would think there would be very small, slow changes taking place at first. A really good place to read opinions and get good insight is at KICentral, where there is a topic being discussed. The first page of it can be found here. I think it will be weird for CP to be sold and not be part of CF after so many years. I wonder how Dick Kinzel feels (probably saying 'Yes! More nickels' as the company is making $700 million, plus losing all debt).

Edit: My link above isn't working for some reason, so: http://www.kicentral.com/forums/index.p ... 20457&st=0 (before being officially announced)

Also: http://www.kicentral.com/forums/index.p ... 20462&st=0 (a thread discussing the sale after being publicly announced)

[KenB]

The biggest problem for CF was it's short-term debt. They're profitable and pretty stable, so probably a good bet for the long term, but refinancing their short-term debt was going to be quite problematic in the current environment.

Despite the gloom-and-doom from the posters on the Sandusky Register site, this looks to be a positive for the parks. Apollo is part-owners of AMC Theaters, Harrah's Casinos and Resorts, and Norwegian Cruise Line. This isn't a turn-n-burn outfit out to buy the parks, sell the land and move on. From what little I've read, they don't seem shy to invest in the companies, as they funded NCL's largest ship to date and overall improvements company wide. NCL apparently showed their first profit in some time after these investments.

The other potential good sign here is the types of companies they're already invested in. Theme parks are in a similar orbit with casinos, cruise lines and theaters, so it's not a huge leap like having something like, say, a movie studio buying the parks.

Now, will Dick be staying? I doubt it. My guess is he's been looking at getting out whenever a good deal showed up, and here it is. Of course the purchase price sounds a bit low and the CF stockholders will probably take a hit, but something had to give with that short-term debt coming due "soon".

Time will tell, of course, but this seems at least somewhat positive to me at this point.

[Whitesoxsfan21]

Who is this Apollo Entertainment LP company anyway? I just don't picture this all happening for some reason... Cedar Point not being apart of Cedar Fair... All of the changed Cedar Fair just did to all the paramounts parks might be put to waste in a few years... Who knows. This is actually very disappointing news. Who ever this Apollo Entertainment LP company is, I hope they are good at managing parks.

[Diamondback FOF]

http://www.cedarfair.com/ir/press_relea ... ory_id=210

Cedar Fair has agreed to the sale. Above is a link to the official press release.

[coasterbruh]

Geesh...Paramount didnt jump ship that quick...

[carowinds4ever]

I have to say look at the bright side, if we got put on hold for our hyper one more year, we may have never seen the Intimidator. It's sad because cedar fair has done a greeat job for us in this short time. It's still like a dream come true when traveling down I-77 and seeing that monster towering the skyline!

Atleast we finally got something great come our way for now!

[JShafer]

Yea, I agree. Also this company as allot more money and assets than Cedar Fair did, if they can get the right people in to manage the parks, this may be a great thing. I do doubt they will be as coaster crazy as Cedar Fair was, considering their line of entertainment, but I believe this could be better in the long run seeing Cedar Fair's extremely large debt due. Who knows, without Cedar Fair, we may see Thunder Road turn backwards again and repainted white? ... I know, random and not really important, but we can dream, right? haha..

[cwgator]

I think most people are getting all in a bunch way too soon about what they didn't read in the article. Yes they will be owned privately now. Cedar Fair will just be under the umbrella of this corporation. It's a merger. This is very similar to the sale of Busch Entertainment Parks (Sea World, Busch Gardens, etc.) to the Blackstone Group. In both cases they intend on working with the current management to continue running business (and turn out more proffit of course in the long run). The main difference will be that now Cedar Fair will be privately owned vs. publicly owned as it was.
As with any organization, private or public, things may get phased out or added in stages over a period of time, including the phasing out of the Cedar Fair name or new name altogether.

This may be all for the better and bring more bigger and better rides in the future. I find it best to keep a positive attitude about what you can't control. Everyone give this a chance and not be so negative.

Having said all that: I wish Spring would hurry up and get here so I can make a trip up to ride Intimidator!!!!!!!!

[Thriller]

So does this deal mean that cedar fair will still manage the parks and keep their name on and logos with the parks? This is a little foggy to me as to what the deal is!

[Davidtmp]

This really don't surprise me that much....I actually thought with all the money being spent and the economy like it is, that we were just heading down the road to bankruptcy. Merging with another company with a little backing may not be all that bad. We shall see in the near future.

[PhantomCat]

You have a great way with words and I appreciate you and this post.

I think most people are getting all in a bunch way too soon about what they didn't read in the article. Yes they will be owned privately now. Cedar Fair will just be under the umbrella of this corporation. It's a merger. This is very similar to the sale of Busch Entertainment Parks (Sea World, Busch Gardens, etc.) to the Blackstone Group. In both cases they intend on working with the current management to continue running business (and turn out more proffit of course in the long run). The main difference will be that now Cedar Fair will be privately owned vs. publicly owned as it was.
As with any organization, private or public, things may get phased out or added in stages over a period of time, including the phasing out of the Cedar Fair name or new name altogether.

This may be all for the better and bring more bigger and better rides in the future. I find it best to keep a positive attitude about what you can't control. Everyone give this a chance and not be so negative.

Having said all that: I wish Spring would hurry up and get here so I can make a trip up to ride Intimidator!!!!!!!!