Six Flags Shareholders Vote In Favor On Merger With Cedar Fair

This past week, shareholders at Six Flags voted on the intended merger with their competition. In November, it was announced that the Ohio-based amusement park company Cedar Fair would merge with Texas-based Six Flags. The new combined company would be worth an estimated $8 Billion, with Cedar Fair owning a majority of 51% with Six Flags owning the other 49%. 

The shareholders of Six Flags voted in favor of the merger, with 6.4 Million shares in favor, 195,471 against, and 158,821 abstained. An overwhelming majority from both companies now await a verdict from the U.S. Department of Justice to move forward on the deal.

The merger came five years after Six Flags offered to buy Cedar Fair for $4 Billion, but the offer was rejected then. This merger also comes two years after SeaWorld offered to acquire Cedar Fair for $3.4 Billion as they wished to expand their theme park business beyond their current lineup of parks. They, however, rejected the offer and determined that it was not in their best interests at the time.

Aside from Disney and Universal, both Cedar Fair and Six Flags are some of the biggest North American amusement park businesses and have had a long-standing rivalry. 

(Video courtesy of The Company Man on YouTube)

Some see this merger as the two companies trying to compete with the ever-changing amusement park industry, with both Disney and Universal being the destinations most families tend to set their eyes on. With Cedar Fair’s 16 locations and Six Flags’ 27 locations, the new company will have a combined 43 locations. This merger will ensure that most of their parks will survive. Some of the lower-performing parks will potentially be sold off or even permanently closed to help offset costs. 

Cedar Fair has a branding deal to feature the Peanuts characters, while (at least in part) Six Flags has had deals with Warner Bros. to feature both Loony Tunes and DC Comics characters. Cedar Fair also acquired the Paramount Parks in 2006 and briefly featured Nickelodeon characters. We will eventually see what the parks will feature regarding existing brands, as those usually tend to attract guests. 

What do you think? Will the merger be approved? Are you excited to see both parks under the same umbrella? Who do you think will be the park mascot(s)? Let us know.

Sources: CGRB, Cleveland News