FUN News & Events

After Six Flags (FUN) announced it has entered into definitive agreements to sell seven of its parks to EPR Properties (EPR) for total cash consideration of $331M, Jefferies said the deal "should be a modest positive for the shares" given the slight reduction in leverage, but adds that there are "still some questions." The deal should allow management to focus on the remaining 34 parks in the portfolio, while the multiple achieved was roughly in line with current trading and cash proceeds will be used to delever, adds the analyst, who has a Hold rating and $19 price target on Six Flags shares.

Six Flags (FUN) announced it has entered into definitive agreements to sell seven of its parks to EPR Properties (EPR) for total cash consideration of $331M, subject to customary purchase price adjustments. The parks included in the transaction are Valleyfair, Worlds of Fun, Michigan's Adventure, Schlitterbahn Waterpark Galveston, Six Flags St. Louis, Six Flags Great Escape and Six Flags La Ronde. Collectively, the parks entertained approximately 4.5M guests for the full year ended Dec. 31, 2025, generating approximately $260M in net revenue and approximately $45M in adjusted EBITDA. Cash proceeds, after taxes and transaction expenses, will be used to pay down debt. On an after-tax basis, net proceeds are expected to be slightly beneficial to the company's leverage ratio. EPR plans to partner with Enchanted Parks to run the six domestic properties and La Ronde Operations to operate Six Flags La Ronde following completion of the transaction. EPR will retain the right to utilize the Six Flags brand through the end of 2026, subject to certain requirements, and no significant impact on guests is expected during this transition. The parks will continue their regular operating schedules, and all season passes sold will be recognized through the 2026 operating season, including multi-park pass privileges at other parks within the Six Flags' portfolio. Six Flags said it plans to operate its remaining collection of 34 parks across 23 locations in North America for the 2026 season. The transaction is expected to close by the end of the first quarter or beginning of the second quarter, subject to the satisfaction of certain closing conditions and receipt of third-party approvals.