Dan Synder & ESPN Exec taking over Six Flags?

[Dough Boy]

NEW YORK (CNN/Money) - Six Flags Inc. investor Daniel Snyder, owner of the Washington Commanders football team, is seeking to sack the board of the of the theme park operator and is offering a premium for a larger stake in the company.

Snyder, in a filing with the Securities and Exchange Commission late Thursday, said his investment firm Red Zone is offering $6.50 a share for up to 34.9 percent of the company. That's a premium of $1.01, or 18 percent, over Wednesday's closing price of $5.49 a share. Red Zone already owns an 11.7 percent stake in Six Flags, according to the filing.

Shares of Six Flags (Research) gained 44 cents to $5.95 in pre-market trading on Inet following the filing.

Snyder's filing also said he is seeking to drop Six Flags CEO Kieran Burke, Chief Financial Officer James Dannhauser and investment banker Stanley Shuman from the board of Six Flags. He would replace them with himself, Mark Shapiro, who announced Wednesday he was leaving his post as executive vice president of programming and production at sports broadcaster ESPN to become CEO of Red Zone, and Dwight Schar, chairman of home builder NVR (Research).

The filing follows a previous statement Friday from Snyder that said he continues to believe the company's management is underperforming and steps need to be taken to increase shareholder value. The earlier filing said he has increased his stake in the company from 8.8 percent last September.

In the filing, Snyder said he is talking to other shareholders and actively exploring means to influence the Six Flags board and management.

New York-based Six Flags issued a statement which said, "Six Flags shareholders need take no action at this time. The board of directors of Six Flags will carefully consider and evaluate Red Zone's filings and will communicate with Six Flags' stockholders in due course. "

Shares of Six Flags have not recovered since a 57 percent drop in value on Aug. 13, 2002, when it reported disappointing earnings and warned that it would not achieve performance goals for that year. Shares are still less half the value of the close of $11.86 on Aug. 12, 2002, before that announcement.

 

[dcdallaschick]

He's been after this for a while, but so far the Six Flags board has been resistant to his efforts, and at one point told him in a letter they had no idea why he thought he had enough standing to march in and start taking over the Board of Directors. So, the Shapiro move seems intended to give Snyder a bit more cred to go back and approach the board again.

 

[Dough Boy]

He's been after this for a while, but so far the Six Flags board has been resistant to his efforts, and at one point told him in a letter they had no idea why he thought he had enough standing to march in and start taking over the Board of Directors. So, the Shapiro move seems intended to give Snyder a bit more cred to go back and approach the board again.

Its going to boil down to money. If Synder is willing to offer enough of a premium, then this like any other acq/merger/take-over will go through.

 

[trickblue]

Its going to boil down to money. If Synder is willing to offer enough of a premium, then this like any other acq/merger/take-over will go through.

Unlike th NFL, Snydely can offer lotsa cash straight up instead of paying under the table...

 

[Dough Boy]

Unlike th NFL, Snydely can offer lotsa cash straight up instead of paying under the table...

He's certainly gots lots of it. I think its interesting that an ESPN Exec is joining him. Shapiro was in charge of programming, how does that translate to him becoming CEO of an Investment Firm. Most guys who run Investment Firms have an Investment Backing, Hedge Fund, Private Equity, Real Estate Investment/Development/Finance type background. It doesn't add up in my mind.

 

[TruBlueCowboy]

I'll never visit Six Flags over Texas again if the Judge Roy Scream becomes the Dan Snyder Scream.

 

[BrAinPaiNt]

I'll never visit Six Flags over Texas again if the Judge Roy Scream becomes the Dan Snyder Scream.

Last time I was there, somewhere in 90-92, it was not all that great anyways.

But then again after being spoiled by the Rollercoasters at Cedar Point other sites pale in comparsion to me.

 

[TruBlueCowboy]

Last time I was there, somewhere in 90-92, it was not all that great anyways.

But then again after being spoiled by the Rollercoasters at Cedar Point other sites pale in comparsion to me.

You've been spoiled.

I've never been to Cedar Point but boy howdy does that place look crazy! That place seems to exist only to break height records, and then break it's own record. LOL I've been to quite a few amusements parks and I can tell ya that Six Flags Over Texas, as it stands now, is actually up there on the rollercoaster scale these days. In the 80's it only had the Shockwave and Judge Roy Scream, but it has gotten better in the last decaded as the Six Flags corp has grown. I live in Florida now and amusements parks are everywhere and I think the only one that can compare to SFoT is Busch Gardens in Tampa because it has a nice collection of coasters too. This is if you're looking for coasters. For pure entertainment, Disney World or Universal Studios beats Six Flags, but if you just care about adrenaline rides, Six Flags ain't half bad.