JANA Presses Six Flags to Pursue Full Sale After Park Divestitures
The activist investor cites heavy debt, missed merger synergies and recent asset sales as reasons to launch a formal auction.
Overview
- On March 17, JANA Partners publicly urged Six Flags to immediately explore a full-company sale and to replace the board leadership.
- JANA, which holds roughly 9% of the company, described recent performance as “vomit-inducing,” according to a Reuters report on remarks by Managing Partner Scott Ostfeld.
- On March 5, Six Flags agreed to sell seven regional parks to EPR Properties for $331 million in cash, a move management framed as portfolio optimization that JANA labeled a fire sale.
- Six Flags carries about $5.2 billion in debt, and its shares have fallen to roughly $16.50 from post‑merger highs near $57–$60.
- JANA’s letter faults governance around the CEO transition and guidance reversals, and reporting notes possible next steps could include a sale process or a proxy fight, with potential private‑equity buyers such as Blackstone or Apollo discussed.