Wednesday, October 7, 2009

So, as it looks Busch Gardens will soon be Blackstone's

Anheuser-Busch InBev sells theme parks for $2.3B

In this undated promotional image provided by Busch Entertainment Corp., people ride the Loch Ness Monster roller coaster at Busch Gardens in Williamsburg, Va. Anheuser-Busch InBev SA, the world's largest brewer, on Wednesday, Oct. 7, 2009 said that it will raise $2.7 billion from selling its U.S. theme parks to the Blackstone Group.
In this undated promotional image provided by Busch Entertainment Corp., people ride the Loch Ness Monster roller coaster at Busch Gardens in Williamsburg, Va. Anheuser-Busch InBev SA, the world's largest brewer, on Wednesday, Oct. 7, 2009 said that it will raise $2.7 billion from selling its U.S. theme parks to the Blackstone Group.
BUSCH ENTERTAINMENT CORP., SCOTT K. BROWN / AP PHOTO

BY EMILY FREDRIX AND AOIFE WHITE

AP BUSINESS WRITERS

NEW YORK -- Anheuser-Busch InBev said Wednesday it will sell its theme parks, including the three SeaWorlds and two Busch Gardens across the country, to private equity firm Blackstone Group for at least $2.3 billion.

The world's largest brewer, based in Belgium, has been shedding assets to help pay for the $52 billion takeover of St. Louis-based Anheuser-Busch that formed the company last year.

The two sides confirmed the deal Wednesday, saying Blackstone will pay $2.3 billion in cash and give Anheuser-Busch InBev the right to up to $400 million of Blackstone's initial returns.

Blackstone's other investments include Universal Studios Orlando and Madame Tussauds wax museums so the theme parks fit into its portfolio.

Anheuser-Busch InBev's Busch Entertainment Corp. consists of 10 amusement parks, including SeaWorld parks in Florida, Texas and California; Busch Gardens in Florida and Virginia and other parks including Sesame Place and Adventure Island.

It is considered the second-largest entertainment park operator in the U.S. after Walt Disney Co. and has about 25 million visitors a year, according to a news release.

Carlos Brito, the brewer's CEO, said in a statement that the business performs well but is not a core focus for Anheuser-Busch InBev.

Blackstone sees opportunity investing in media and entertainment businesses, said Michael Chae, senior managing director at Blackstone.

"We are delighted to be investing in a company with such iconic brands, irreplaceable assets and strong growth prospects," he said.

The Miami Herald

Join the discussion

The Miami Herald is pleased to provide this opportunity to share information, experiences and observations about what's in the news. Some of the comments may be reprinted elsewhere in the site or in the newspaper. We encourage lively, open debate on the issues of the day, and ask that you refrain from profanity, hate speech, personal comments and remarks that are off point. In order to post comments, you must be a registered user of MiamiHerald.com. Your username will show along with the comments you post. Thank you for taking the time to offer your thoughts.

Comments: 0 Showing:

    More comments on this story:

    Top Searches: Obituaries | Horoscopes | Lottery | Calendar

    • MORE NATIONAL BUSINESS

    • VIDEOS

    • QUICK JOB SEARCH

    Enter Keyword(s)Enter CitySelect a StateSelect a Category
    Posted by at

    2 comments:

    1. JackieOctober 7, 2009 at 11:29 AM

      Damn. I wonder if we should think about changing the name to Blackstone.

      ReplyDelete
    2. InstructorOctober 7, 2009 at 12:11 PM

      Don't panic. We'll keep the name for now. I'll talk about this in class, how you will handle a merger/buyout in the middle of a creative exploration.

      ReplyDelete

    Subscribe to: Post Comments (Atom)