What's new
By:
FORUMS - COASTERFORCE

This is a sample guest message. Register a free account today to become a member! Once signed in, you'll be able to participate on this site by adding your own topics and posts, as well as connect with other members through your own private inbox!

Blackstone buys Busch Entertainment

Snoo

Snoo

The Legend
http://www.orlandosentinel.com/business ... 4695.story

After months of negotiations, Anheuser-Busch InBev announced this morning that it will sell SeaWorld Orlando-owner Busch Entertainment Corp. to the Blackstone Group for as much as $2.7 billion.

Blackstone, the New York-based private-equity giant, will pay AB InBev $2.3 billion in cash plus give the beer brewer a right to participate in its return on investment up to $400 million. Blackstone will own 100 percent of Busch Entertainment.

The deal has sweeping implications both for Orlando and the global tourism industry.

Orlando-based Busch Entertainment is the second-busiest theme-park operator in the United States, with a chain of 10 theme parks that stretches from Pennsylvania to California and draws roughly 25 million visitors a year. It has approximately 10,000 employees in Central Florida alone, where its properties include SeaWorld, Aquatica and Discovery Cove.

Blackstone, meanwhile, already holds a 50 percent stake in Orlando's No. 2 theme-park resort -- and fierce SeaWorld competitor -- Universal Orlando. The buyout firm also owns Merlin Entertainments Group, the British amusement-park operator with properties such as Legoland theme parks and Madame Tussauds Wax Museums.

Blackstone will retain Busch Entertainment's management and operate the company as a standalone investment.

"This is an exciting day in BEC history," Busch Entertainment President Jim Atchison said in an interview. Blackstone brings "an awful lot of strategic vision for us. We're going to continue to grow the business together."

In a prepared statement, Joseph Baratta, a senior managing director at Blackstone,said, "We are pleased to have the opportunity to acquire this business. We have deep sector experience and look forward to working with the excellent BEC management team to continue to invest in and grow the company."

With the deal, Busch Entertainment will for the first time become an independent company, rather than operate as a division under the corporate umbrella of much larger beer conglomerates. Because of that, Busch will soon begin hiring to fill roles such as legal, procurement and tax that had previously been handled by Anheuser-Busch.

"This is a big thing for Orlando, not just BEC," Atchison said. He added that no jobs will be cut as part of the transaction.

Visitors are likely to see few changes at the parks. The deal includes a sponsorship agreement with Anheuser-Busch that will permit Busch Entertainment to continue using names such as "Busch Gardens" and continue promotional campaigns such the "Here's to Heroes" program in which members of the military can get free admission.

Perhaps the most noticeable change: Budweiser's iconic Clydesdale horses will be removed from SeaWorld and Busch Gardens parks. Atchison said the horses will remain a part of Anheuser-Busch's beer-marketing division. Some Anheuser-Busch signage will also likely be taken down n the coming weeks.

But beyond that, "I don't think guests will see a change," Atchison said. "There's going to be a lot of continuity."

A-B InBev had been seeking a buyer for its theme parks since completing the $52 billion merger of beer giants InBev and Aheuser-Busch last year. Executives have said they want to sell of non-core assets to use the proceeds to pay down debt stemming from the merger.

"Busch Entertainment Corporation is a high-performing asset with a world-class management team, but not a core business for Anheuser-Busch InBev," A-B InBev's Carlos Brito said in a written statement. "We are pleased to have reached an agreement with a buyer who understands the industry and has a strategic vision for the business. The sale of BEC represents another important milestone in our commitment to de-leverage the company and will also allow us to continue to focus on our core brewing business."

The sale of Busch parks has been closely watched in financial circles. It is the largest private-equity buyout so far this year.
Click to expand...
 
I don't really understand :( . But, from what I gathered, someone else is buying it and they are going to keep the parks similar to what they were when Busch owned them.

As long as it's for the better.
 
^What is there not to understand?

I was wondering about this the other day. Last I heard was that they were looking for a buyer, but then the story was sort of lost. I hope they don't have to make too many changes for legal reasons.
 
Wow, so now, most parks in the world are either fully or partially owned by Disney, the Blackstone group, Six Flags, or Cedar Fair.

One thing I think Busch Gardens should do, if they're removing the Clydesdale Horses, is construct some sort of dark ride right here:

BuschGardens1.jpg


Move the new museum type thing somewhere else and it could take up the space currently used by the horses and the museum/the old ride building (I forget the name).

Of course, it will be a little smaller than that because of things they don't show on the map, but still about the same size.
 
The good thing is that Busch isn't Merlin, so I don't think the parks will decline at all in terms of quality.

And Taylor.. the horses and some Busch brewing names will be gone, but for the most part, the parks will remain unchanged.
 
I don't know if this is a good or bad thing really?

What it does mean is Merlin and the Busch parks are know kind of related and will get similar funding from Blackstone I would have thought?
 
This scares me, I must admit.

Only a bit though, seeing as BGE is the only Busch park that doesn't suck!
 
spicy said:
I don't know if this is a good or bad thing really?

What it does mean is Merlin and the Busch parks are know kind of related and will get similar funding from Blackstone I would have thought?
Click to expand...

But that is like saying the Merlin and Universal parks are related.

I don't think this purchase is going to make much difference. I think the Busch park will be run exactly the same way they have been run over the years.
 
Oh well so it was not Merlin then, but that people that own Merlin.

Wait for Sea World to be renamed to Sea Life Centre. I assume they are taking over these parks as well?

Universal parks do ok so there is some hope after parks like IoA, but even at IoA it took years for a new attraction and Universal Studios was left to go down hill a bit.

I am worried and not at the same time, hard to explain. At least it keeps the parks open though and maybe the removal of the ride at BGE wont happen now.

Edit: Blackstone own 70% of Merlin but they ca buy the rest after 5 years. There is quite a lot of info on the web about the Merlin/Blackstone group. It does look like Merlin is the name Blackstone use to run their attractions but the funding is from Blackstone.

These parks are big though so I do think there will be investment etc, they are like the jewels in the crown.
 
marc said:
Wait for Sea World to be renamed to Sea Life Centre. I assume they are taking over these parks as well?
Click to expand...
Why would this happen? The Sea World brand is owned by Busch Entertainment, which is now owned by Blackstone. We can probably expect the "Busch" names to change, but I don't see that happening with Sea World.

And Ben, BGA definitely doesn't suck.
 
Yes or maybe they will rename the Sea Life Centres, I just can not see the names staying the same but you might be right.

I think they would be best to leave the names as they are, people know them so well.
 
Ben said:
wash said:
And Ben, BGA definitely doesn't suck.
Click to expand...

It's some great coasters stuck on a bland, horrid and massive desert thing. Yeah, it sucks.
Click to expand...

Oh, and what do you have over there? Thorpe Park? Yeah, I thought so.

BGA has much better theming than most parks do, just look at Six Flags or Cedar Fair parks.

BTW the names aren't going to change it says so in the article.
 
CMonster said:
Ben said:
wash said:
And Ben, BGA definitely doesn't suck.
Click to expand...

It's some great coasters stuck on a bland, horrid and massive desert thing. Yeah, it sucks.
Click to expand...

Oh, and what do you have over there? Thorpe Park? Yeah, I thought so.
Click to expand...

Yeah, you're not stupid.

BGA has much better theming than most parks do, just look at Six Flags or Cedar Fair parks.
Click to expand...

Cedar Fair parks suck more, yes, but, (most) Six Flags parks have an atmosphere that more than makes up for it, especially compared to bland, lifeless BGA.

On the subject of Six Flags actually, you want to know a MUCH nicer animal park? Discovery Kingdom. It's not a bland desert that's "Africa" because there's **** all there!
 
^ Just because you don't like a park themed to Africa doesn't mean it sucks. Considering that a good portion of Africa is a desert or a giant plain, BGA has got the theming down. But if that's your opinion, so be it.
 
I'd be curious to see if they don't apply the Sea World name in some fashion to the Sea Life Centers, at least here in the states. It's the far more recognizable brand here.
 
I think this has to be considered a good thing. The sale of the parks was pretty much inevitable, so it's good to see that they are going to a group that doesn't look like it's going to turn them upside down & do things dramatically differently. They're retaining the same management that has been running the parks successfully for years, so the parks will probably continue to do well.

The fanboy in me is a little disappointed to know that things are going to be a little different, that it's not really a "Busch" park any more, but for all practical reasons this good news. What would have happened if no buyers came forward for a long time and InBev had to hang onto the parks? Probably nothing, cutbacks if anything. So turning the parks over to a company that is much more invested in their long-term success, growth, and development is definitely good.
 
There is quiet a lot of things being said on the web at the moment about this deal.

It looks like Merlin will be running the parks with Blackstone just owning the land, just like the MT deal that was done in the UK. This will not happen straight away but will change over time, at the moment they will still be run as they are.

There is talk of a name change, well a bit added at the end of the name "Islands of Discovery" is being mentioned.

Universal Studios will not change though as Blackstone do not fully own the parks.

The Orlando Flexi Ticket is expected to end in 2011 with another ticket to replace it, prices will be in line with what Disney charge.

Merlin are being praised for all the work they have done at their Lego Land parks, nothing has even been said about Alton or Thrope which I found funny. For Lego Land in the USA they are planning hotels and a water park.

Its just a lot of gossip at the moment but more should be known when everything has calmed down.
 
You must log in or register to reply here.
Back
Top