Anheuser-Busch might be sold soon...

How true. I'll take a Long Trail or a Magic Hat any day over a Bud. I don't know how my dad drinks Coors.

Another article in our local paper here in Virginia Beach confirms that InBev is likely to sell the amusement parks. They even mention Cedar Fair and 6 Flags as potential buyers. I don't see that happening though. I don't think either company has the money, or can raise the money, to buy the 10 Busch parks.

Also, there's a 0% chance that the parks get closed down, IMO. They are all successful, and have way too much invested in them. I'm hoping that Busch Entertainment just spins off into its own company.

http://hamptonroads.com/2008/07/anheuserbusch-theme-parks-are-likely-be-sold-after-takeover *** Edited 7/15/2008 1:31:41 PM UTC by freest8r***

How independently are they run now, are they completely self sufficient?

I don't see any of the usual suspects stepping up to the plate. Disney doesn't buy other people's parks, they build their own. Six Flags couldn't buy a roll of paper towel given their balance sheet. Cedar Fair is already in a mound of debt from the Paramount acquisition, and these parks (especially the Sea World locations) are even farther from CFs core competency. The other US players (HFEC, PARC) seem too small to pull it off. Maybe HFEC, but that's a stretch.

So, that leaves either private equity and/or someone who doesn't get theme parks, or an international player. Parques Reunidos or Tussauds, perhaps?

The economics of a weak dollar favor foreign acquisition, just as happened with InBev's purchase of A-B. I was going to say that buying the entire chain might be too much even for Parques Reunidos, considering the company's current lineup of parks. But then I realized that to a European firm, the purchase would look 60% smaller in terms of euros. So it might be doable.

I don't get it. The US has SO many excellent local beers.

Why do people drink Bud?

Last night's Orlando news was ALL over the A-B parks' business. Huge employer for the area, considering SWF, Aquatica, Discovery Cove, BGT, and Adventure Island.

After going over all the relevant details re: A-B's parks, there were two buyers mentioned, consistently and repeatedly (as though no one else was even CONSIDERED as a potential buyer). Those two: Blackstone Group (operators of Legoland and some other stuff), and Parques Reunidos...at least KW got a mention! ;)

I was kinda surprised NO other buyers were mentioned....then again, the $3.5-4B pricetag mentioned might have been too steep for most operators.

What about the Herschends? The Sea World parks would fit in with their current line up -- and considering they have recently bought a couple of aquariums.

Could they sell the parks off one by one? I know they are using the parks as part of the purchase price for AB, but would they need to sell all the Busch Gardens and Sea World parks at once, or could they sell the parks individually to interested parties? I hate to see these parks go period because some of my most positive experiences have been at both BGE and Sea World Orlando, but it would be better to save the parks and operate them under a different name than it would be to turn them into shopping complexes or something. I bet Universal could do something wonderful with at least Sea World Orlando, and they're right near each other. They could create park hopper passes for people interested in the Sea World AND IOA AND Universal parks. That's a ticket I'd buy, plus from everything I have heard (although I haven't seen it firsthand) about Universal says that it is a wonderful, heavily themed, VERY fun set of parks. Sea World wouldn't be so spaciously set up in all likelihood, but....

I would hate for Cedar Fair OR Six Flags to get ahold of these parks. Nothing against either chain really, but the Busch Gardens and SeaWorld parks are filled with atmosphere, family fun, and really, just a completely different atmosphere from the vibe you get a SF or CF park. This should all be preserved.

Perhaps the Coasterbuzzers should all stop GOING to parks for a little bit and BUY the parks. J/K

^^

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The other US players (HFEC, PARC) seem too small to pull it off. Maybe HFEC, but that's a stretch.

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*** Edited 7/15/2008 5:26:55 PM UTC by Brian Noble***

I kinda doubt HFEC could pull together that kind of scratch (estimated $3.5-4B)...the dust hasn't even settled from the Wild Adventures acquisition. But would I like to see HFEC take over the A-B parks? You bet!

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El Gato Coastro said:Why do people drink Bud?

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Marketing. And it's the sort of thing they see other people around them drinking in their formative years.

^^^ There's already a hopper for IoA, USF, SWO and BGT.

The right MIGHT be spinning the parks off into their own group. How about Donald Trump taking these over? Either that or NBC Unviersal.

Yeah I saw your post after I had already posted Brian. :P

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rollergator said:
I kinda doubt HFEC could pull together that kind of scratch (estimated $3.5-4B)...the dust hasn't even settled from the Wild Adventures acquisition. But would I like to see HFEC take over the A-B parks? You bet!

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Well we know the Herschends would stay true to the themes and since they have been getting into the animal scene here lately, they would atleast have that going for them.

If I had a choice, that would be who I would want to take over the chain

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a_hoffman50 said:
I would not have thought in a million years that they would sell out. Business is business I suppose.

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They didn't sell out, it was a hostile takeover.

I wonder if some of the principals from A-B, whom I believe are mostly Busch family members, can purchase the entertainment division.

I guess Busch really is about to 'Head for the Mountains...."
;)

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Vince982 said:Some analysts say Anheuser's theme parks could even survive a merger given they generate healthy profits and good advertising for its products.

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Despite Inbev's need for money (from a sale of the parks) to pay for the purchase of A-B, I hope they are sensible enough to realize the benefits the parks provide from a marketing and public relations point of view. Many non-beer drinkers have a favorable view of A-B because of the quality of the parks. Could the parks survive a sale and still maintain a relationship with A-B?

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Freest*r said:I'm hoping that Busch Entertainment just spins off into its own company.

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I don't know much about big business, so what exactly does this mean? For the parks to be "spun off" as its own company, would someone have to buy them? If they were simply "spun off" and let to operate independently of A-B/Inbev, how would this make any money for Inbev?

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Jeffrey Seifert said: I wonder if some of the principals from A-B, whom I believe are mostly Busch family members, can purchase the entertainment division.

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That seems like a great idea. *** Edited 7/16/2008 11:01:40 PM UTC by gardener14***

Hello gang, I don't have time to read through the whole thread right now. I'll just add what I've been told from a good source in management at Sea World Florida. She says Merlin Entertainment (Owns a lot of parks in Great Britain) is one potential buyer of the parks and there is another from Europe whom she couldn't recall the name. She obviously confirmed that Six Flags, Cedarfair and those companies will most likely not be interested in acquiring the Busch parks. She mentioned InBev wanting to shave in upwards of $5 billion off of the Anheuser-Busch operations in the short-term future and in her opinion, and that's all it is, is her early impression is that the parks will be sold off by InBev within a year from now. She's not in the direct business aspects of operations but she is privied to some discussions around the offices so that's where this info comes from. Hopefully some of this was not mentioned yet but I'm tired and wanted to share real quick and get to bed.

Well, I just hope that any European sutor realizes that what works in London, Englnd may not work in London, Ohio.