Acquiring Signal?

Originally Posted By leemac

<<I don't believe that Disney has the money or ability to get the amount needed to pull off a buyout of BEC.>>

I'd have to disagree with you there, Spirit. TWDC would definitely be able to buy BEC - it would be a question of whether they would want to which I highly doubt - AB-Inbev are overvaluing these assets significantly. I'd also be surprised if Blackstone could muster up the debt in the current economic environment to take on BEC - the theme park industry is directly correlated to the state of the economy and as that is heading south and capital availability has dried up I'd be surprised to see any multi-billion dollar deals by private equity players any time soon.

However there is a more pertinent point - I would not expect TWDC to get anti-trust immunity for an offer for BEC. Any deal would effectively create a duopoly in the central Florida market which would be detrimental for the local economy and competitors. I would not expect TWDC to table a bid without anti-trust immunity and I would not expect the authorities to grant any pre-deal immunity.

 

Originally Posted By CarolinaDisneyDad

Is BEC for sale? Is this speculation or are they definitely going to move this property and it's just a question of who acquires it?

 

Originally Posted By leemac

BEC is a non-core asset of the new AB-Inbev group. They are actively seeking buyers.

 

Originally Posted By CarolinaDisneyDad

Wow! In that case I hope Disney does buy it. We already try to go there and it would be even easier if it was included on our park hopper pass. The question is would it increase overall attendance in the parks or just spread it out over a larger area. I know in our case we go for the same amount of time each year so a day at Seaworld is a day we aren't in the Disney parks so Disney would pick up that extra day of our time. But, because we like WDW so much we only go to Seaworld every other year.

 

Originally Posted By dshyates

I could see Disney acquiring BEC. But leaving BEC. management basically intact like PIXAR, and NOT re-branding the parks. Hell, while were shopping throw the Hard Rock Park in the cart, and rebrand it as Busch Gardens Rocks! Theme Park.

 

Originally Posted By Spirit of 74

<<I'd have to disagree with you there, Spirit. TWDC would definitely be able to buy BEC>>

If you read my follow up post, I said that TWDC would be able to buy BEC ... just that I believed the cost would be prohibitive under current circumstances.

<< - it would be a question of whether they would want to which I highly doubt - AB-Inbev are overvaluing these assets significantly.>>

And this is somehow different from what ANY other major corporation does?

<<I'd also be surprised if Blackstone could muster up the debt in the current economic environment to take on BEC - the theme park industry is directly correlated to the state of the economy and as that is heading south and capital availability has dried up I'd be surprised to see any multi-billion dollar deals by private equity players any time soon.>>

I'd bet someone is going to buying BEC in the near future. And my gut says they're going to get them for a bargain.


<<However there is a more pertinent point - I would not expect TWDC to get anti-trust immunity for an offer for BEC. Any deal would effectively create a duopoly in the central Florida market which would be detrimental for the local economy and competitors. I would not expect TWDC to table a bid without anti-trust immunity and I would not expect the authorities to grant any pre-deal immunity.>>

I think you're likely thinking too much into this ... the US government has gotten extremely lenient when it comes to matters of anti-trust and, frankly, in today's business environment I'd guess that the theme park business in Central Florida would be one of the absolute most insignificant issues ...

 

Originally Posted By Spirit of 74

<<BEC is a non-core asset of the new AB-Inbev group. They are actively seeking buyers.>>

Some of us think Inbev shouldn't have been allowed to buy AB to begin with but that's another tale ...

 

Originally Posted By pheneix

>>>I'd have to disagree with you there, Spirit. TWDC would definitely be able to buy BEC<<<

I've got to stand with Spirit on this one. Disney BARELY has the cash on hand to make this kind of purchase. If they blew it all on BEC the entire company would grind to a stop within months. The other option is financing such a purchase, which I have already stated would be a Wall Street nightmare for Disney with all the theme park debt they already have.

Now Blackstone on the other hand... These guys are "wizards" at performing financing miracles.

 

Originally Posted By danyoung

With all of this talk about BEC, it would sure be nice to know - what the hell is BEC? Inquiring minds always want to learn new stuff!

 

Originally Posted By dshyates

Busch Entertainment Corp. (Sea World, Busch Gardens).

 

Originally Posted By CarolinaDisneyDad

I could see purchasing Seaworld but I just can't see the busch parks fitting with the Disney model. Are the Busch parks struggling like most of the others in that genre. I think I read somehwere that the corp that owns Six Flags was stuggling and had debt problems. I know Carowinds here in charlotte is not doing very well. Funny side bar here. Carowinds offers season pass holders early entry in the parks but the rides don't open until their normal time which in our experience is about 20 to 30 minutes after opening. Their advertising says "so you can be first in line for your favorite attractions". Whooopeee not.

 

Originally Posted By danyoung

>Busch Entertainment Corp. (Sea World, Busch Gardens).<

Thanks - the entire thread makes more sense now!

 

Originally Posted By bayrr326

<<Are the Busch parks struggling like most of the others in that genre>>

None of the Busch parks are struggling. Here in Florida both SeaWorld and BGT had record holiday attendance. 4 of their parks are in the top 15 of attendance in north america(not sure where SeaWorld Texas is). Including Busch Gardens Europe which is usually in the top 5 among seasonal parks. They parks made money for AB. Unfortunately, whoever buys them better not mess too much with the parks because they will tick off a very loyal passholder base that spend alot of money in those parks. I still think it is idiotic of Inbev to sell of the parks. They really have no idea how much goodwill those parks have provided AB over the years. And they need alot of goodwill to overcome the distaste many people have in this country of their forced merger with AB. I really hope the Busch family is somehow involved with the sale. I would hate to see the Busch name stripped from the parks and what would happen to the Busch Conservation Fund? This whole saga is just another sign how far this country has fallen.

 

Originally Posted By avromark

Of course we need at least 2 nice free beer tasting clubs with a brew master in every theme park