May 6, 1999
New York--May 5, 1999--Premier Parks Inc. announced today that it has acquired Reino Aventura, the largest theme park in Mexico, and has entered into a definitive agreement to purchase Splashtown Water Park, a large water park located in Houston, Texas.
Premier had announced earlier this week its agreement to purchase the White Water - Atlanta Water Park and American Adventures Entertainment Park, located in Atlanta, Georgia. Both Splashtown and White Water are among the ten largest water parks in the U.S. based on annual attendance.
Premier stated that it had purchased Reino Aventura on Tuesday, May 4 for a cash purchase price of $59 million. Reino Aventura is located on a site of approximately 107 acres in Mexico City. The park first opened in 1982. In 1998, the park achieved attendance of approximately 1.7 million and revenues and EBITDA of approximately $27 million and $7.5 million, respectively (U.S. dollar equivalent).
"We are especially pleased to acquire the leading theme park in the largest city in North America," noted Kieran E. Burke, Chairman and Chief Executive Officer of Premier. "We believe that as a Six Flags park, with an appropriate expansion of the rides and attractions, there is a significant growth opportunity at what is already a very attractive asset."
The closing of the acquisitions of Splashtown and the White Water - Atlanta Water Park complex are expected to occur this month, following satisfaction of customary closing conditions. Splashtown is a water park located on over 60 acres in Houston, Texas which generated approximately 465,000 in attendance in 1998. Premier also operates the Six Flags AstroWorld and WaterWorld parks in Houston. The White Water - Atlanta complex has averaged attendance of approximately 600,000 over the past five years. Premier also operates the Six Flags Over Georgia theme park in Atlanta. Specific terms of these transactions are not being disclosed at this time.
"These two transactions afford us an opportunity to expand our existing presence in two major markets," said Mr. Burke. "Owning these assets will afford us numerous synergistic opportunities in advertising and sponsorship, as well as in season pass and group sales and promotions. We expect these opportunities to benefit both our existing operations in these markets as well as our new acquisitions."
Premier Parks is the world's largest regional theme park company. Upon conclusion of these transactions, it will have thirty-four parks throughout North America and Europe.
Premier Parks to Purchase Atlanta Water Park May 5, 1999