Report: Six Flags pursues takeover of Cedar Point owner
Cedar Fair LP, the amusement-park chain that owns Cedar Point, Michigan’s Adventure and Knott’s Berry Farm, briefly rose the most in almost a decade on a report that Six Flags Entertainment Corp. approached the company about a takeover.
Six Flags, whose parks include Fiesta Texas and Magic Mountain, is considering a cash-and-stock offer for Cedar Fair, according to Reuters. It’s not certain an agreement will be reached, the news service reported.
A deal would unite two of the biggest thrill-ride operators, creating a chain of amusement and water parks that spans the U.S. A takeover would follow a June transaction to take the owner of Legoland’s theme parks private for $6.1 billion. Analysts said at the time that the purchase could turn companies like Cedar Fair into more attractive takeover targets.
Cedar Fair shares rose as much as 11% on Wednesday to $64.86 – the biggest intraday rally since March 2010 –before settling down to a 3% gain. Six Flags slipped less than 1% to $51.22.