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MUMBAI: CBS Corporation will be selling its Paramount Parks operation
to Cedar Fair, L.P. for $1.24 billion in cash. The transaction is
subject to customary conditions, including regulatory and other
approvals, and is expected to close during the third quarter.
The company announced its intention to divest Paramount Parks on
26 January.
"We're very pleased with the value we received from the sale
of this terrific asset. I want to thank the management and employees
of Paramount Parks for their contributions to the parks division and
to CBS Corporation," said CBS Corporation president and CEO Leslie
Moonves.
Commenting on the new deal, Cedar Fair LP chairman, president and
CEO Dick Kinzel said, "The five properties we are acquiring fit
very well with our existing parks and there is very little overlap."
The company said that, the combined operations will generate almost
$1 billion in annual revenue from about 25 million customers.
CBS, which inherited the theme-parks after splitting from parent
Viacom Inc. in December, said that it would sell the resorts because
they did not fit with its broadcasting focus. This acquisition however,
will boost Cedar Fair to become one of the world's largest regional
amusement park operators. Paramount Parks will remain in full operation
throughout the divestiture process, informs an official release.
Paramount Parks' assets include Great America, Carowinds, Kings
Island, Kings Dominion and Canada's Wonderland.
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