Blackstone to Buy Busch Entertainment - Possible Merger with Universal Orlando

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pheneix

Well-Known Member
Original Poster
Despite this being a mainly Disney board, I know there has been a lot of interest in what the Anheuser Busch sell off would mean for tourism and Disney Parks in general. Today we are finding out just how important this deal may be:

Blackstone, the American investment firm, which is a major shareholder in Merlin Entertainments Group, is positioning itself for a tilt at the theme parks unit of Anheuser-Busch, the brewing giant which is in the process of being acquired by the Brazilian company InBev.
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Blackstone, which co-owns Merlin alongside Dubai International Capital, is also an investor in Universal Orlando, another of the US's largest theme parks operators. People close to Blackstone say that if it succeeds with an offer for the Anheuser-Busch parks, it could merge them with either Merlin or Universal, in which NBC Universal, the US media company, is a partner.
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http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/08/03/cnthorpe103.xml

I don't think I have to say what this means for Disney if all of their main competitors joined forces and started flying the same flag. I hope this deal actually has a snowball's chance in hell of happening.
 
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pheneix

Well-Known Member
Original Poster
They're incorporated in Belgium. The company was formed by a merger of Belgium's Interbrew and Brazil's AmBev. The Brazillian families that run AmBev recieved controlling shares of the new company. The company's management is also predominantly Brazilian.
 
crazydaveh

crazydaveh

Active Member
This is interesting.

I do have a wish... Let the Boston Beer Company take over the parks!!!! Then good beer will be served!
 
khelinski

khelinski

New Member
This 'could' be big...

...but if merges start happening, individual parks may start sell/and/push the same crap, taking away the uniqueness of each park (i.e. when Lowes merged with AMC).

Got to love cooperate America!
 
CTXRover

CTXRover

Well-Known Member
Its interesting for sure. But I wouldn't go as far as that article to insinuate that the Busch parks would be merged with Universal parks. Blackstone is a company involved in corporate private equity funds, real estate funds, asset management funds and provider of financial advisory services with, correct me if I'm wrong, simply a 50% financial investment in the Universal Orlando resort as part of its larger portfolio. They have no say in the run of the Universal parks division worldwide and I imagine have little say in the workings of Universal Creative unless it pertains directly to UO resort.

If Blackstone would successfully bid for the Busch family of parks, I imagine they would simply merge them into the division of their company that has the interest in UO. Thus I believe the Universal company would have little to no input into how each operates or how they are creatively run. It certainly won't become "Universal's Seaworld" or "Universal Gardens theme park", as Universal the company would have no financial interest in the parks.

Either way, they already sell the "Orlando Flex ticket" which provides 14 consecutive days at Universal Studios, IOA, Seaworld, Aquatica, Wetn' Wild and Busch Gardens Tampa Bay for 279.00 which is equivalent to Disney's 4 major theme parks and 2 water parks, just not as convenient. So in a way, the "joining forces" thing is already done.
 
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PoutyFace

New Member
A grand merger with Merlin, Busch and Universal Parks isn't that hard to see; I wouldn't be totally shocked if NBC Universal welcomed being bought out of the parks, with a massive licensing fee each year to continue using Universal brands and allowing access to the backlot (the Universal staff would welcome this too - they recently got cut off from free screening of films [it seems due to piracy] and some none too kind things have been said about the park and Citywalk [in California] staff on some industry forums!)

That said I don't think it'd adversely affect Disney, as even if a merger did go ahead it's no real threat, as others have already said. The main benefits are cost savings and consolidation.

If Cirque is in the mix though, I could see Disney making a buy for them.
 
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pheneix

Well-Known Member
Original Poster
If Blackstone would successfully bid for the Busch family of parks, I imagine they would simply merge them into the division of their company that has the interest in UO. Thus I believe the Universal company would have little to no input into how each operates or how they are creatively run. It certainly won't become "Universal's Seaworld" or "Universal Gardens theme park", as Universal the company would have no financial interest in the parks.

Either way, they already sell the "Orlando Flex ticket" which provides 14 consecutive days at Universal Studios, IOA, Seaworld, Aquatica, Wetn' Wild and Busch Gardens Tampa Bay for 279.00 which is equivalent to Disney's 4 major theme parks and 2 water parks, just not as convenient. So in a way, the "joining forces" thing is already done.
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I'd see a merger going the other way around with BEC taking over the Universal side of things. BEC is by far the most profitable of the three theme park operators in Blackstone's crosshairs and has been for a very long time. Plus no one is going to argue that these guys have the best operated theme parks in the nation from a maintenance and operations standpoint. Now in attractions construction not so much and that's where they could learn a lot from Universal Creative.

The Orlando Flex Ticket is a joke and is not even 1/10th of 1 percent of what these resorts could do if they were operated under one management. A resort operation of that magnitude could approach the local and state governments and get a lot of stuff done compared to the (lack of) progress being made right now with light rail, I-drive redevelopment, etc. Plus imagine the ticketing and hotel packaging opportunities they would have now that revenue sharing would no longer be an issue.

With what is going on in Dubai and what could happen in Orlando there is no reason why these two companies should not merge as one and Blackstone seems to realize what a dynamite opportunity they have. I expect them to act fast.
 
Figment1986

Figment1986

Well-Known Member
if blackstone bought Busch entertainment they would probably not become part of universal orlando.. but become associated with merlin entertainment... though universal would be able to do more deals and with like a 3 day tickets with park hopping to sea world orlando included it would mostly be an extension of the current contract they have for the flex ticket.

though what would happen is the legoland in california would be associated with the seaworld in sandiego for things you can do, much like how Busch gardens tampa is with seaworld orlando today.
 
crazydaveh

crazydaveh

Active Member
BikerJim said:
Dave, my exact thoughts, if Jim Koch comes down for the F&W Fest we can talk to him about it.

BikerJim
Free Beer Forever:cool:
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We shall corner him and force him to ride It's a Small World until he buys the AB parks! Just think... Free Sam Octoberfest in the fall!

In the words of Homer Simpson.... "WAHOOOO!"
 
NoVa Mom

NoVa Mom

Member
You guys are all beer crazy! No pun, dave... Anyway, here's my question, I heard on a tv news clip that someone associated w/ PETA was going to buy Seaworld and set all the animals free? And put in virtual displays in their place??? :eek::eek::eek: PLEASE tell me this is not viable? or even half true???

We live in VA and LOVE our Busch Gardens Europe! We are totally bummed by this Inbev thing. I could care less about the beer but I don't want my park closed down forever!!! :confused::(:brick:
 

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