Cedar Fair sells notes to help refinance debt
7/16/2010SANDUSKY — Cedar Fair LP, which called off an acquisition this spring by Apollo Global Management, said Thursday it has sold $405 million in senior eight-year notes to help refinance debt.
The notes, which are backed by Cedar Fair's amusement park and water park subsidiaries, were sold to institutional investors. The Sandusky-based company said the notes' proceeds will be used to help refinance its existing $1.5 billion term debt and $216 million revolving credit account.
Cedar Fair said it plans to seek a new $1.15 billion loan and new $300 million revolving credit account. The company reportedly will meet with lenders today.
In a regulatory filing announcing the notes, Cedar Fair said that through June 27, its six-month revenues likely will fall between $290 million and $307 million, beating its $209.6 million half-year revenues of a year ago. The company said attendance at its parks was up 7 percent and out-of-park revenues 3 percent, but in-park guest spending fell 3 percent.