Jana Partners pushes Six Flags to explore sale, replace board chair, letter says

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https://www.reuters.com/sustainabil...e-replace-board-chair-letter-says-2026-03-17/

NEW YORK, March 17 (Reuters) - Activist investor Jana Partners wants theme park operator Six Flags Entertainment (FUN.N) to explore a sale and immediately appoint a new head of its board of directors, according to a letter reviewed by ‌Reuters.

The call for change comes just months after North America's largest regional amusement resort operator hired a new chief executive and less than a week after it appointed National Football League star Travis Kelce as brand ambassador.

In a letter addressed to Six Flags' board, Jana cites concerns about the board's ability to "deliver" for shareholders and calls on the company to engage with buyers.

"It is now in the best interest of shareholders for the company to reverse course and engage with known buyer interest in Six Flags," Jana Managing Partner Scott Ostfeld wrote.

The firm, one of the industry's busiest activist investors, also wrote that board leadership changes are needed and the company should appoint a new chair. Marilyn Spiegel was named chair in January and has been a director since 2023.

The company did not immediately respond to a request for comment.

In October, Jana unveiled its stake in Six Flags along with its partnership with Kelce, the Kansas City Chiefs tight end who is engaged to singer Taylor Swift. At the time, the hedge fund, which disclosed a roughly 9% economic stake, said it wanted Six Flags to improve operations, revitalize its marketing and improve the customer experience at its parks.

It also suggested that the company could be an attractive acquisition target.

Investors pushed Six Flags' stock up nearly 20% on the news. Before Jana's stake was revealed, the company's stock price had tumbled some 50% year-to-date as rainy weather kept visitors out of the parks and weighed ‌on returns.

Since then an earnings miss and worries about business performance have pushed shares lower, leaving the company with a market value of $1.7 billion. The stock price closed at $16.39 on Monday.

While Jana has publicly expressed support for new CEO John Reilly, it said in the letter that it wants to see a new board chair after months of private engagement raised concerns about the group's effectiveness.

"We have witnessed an alarming pattern of board dysfunction and disjointed decision-making that has become impossible to ignore," the letter said.

In the letter, Jana cites a string of shortcomings at the board level including how the directors sat on the announcement of Reilly's appointment as chief executive in November for days while the company was experiencing a crisis of confidence.

It also criticized the board's approval to reaffirm financial guidance in September to calm nervous investors only to then slash guidance weeks later.

In February, Reilly had said that while 2025 results had come in short of the company's expectations, "the work completed over the past year has strengthened the foundation of our enterprise."

He said the company improved park infrastructure, added new attractions to parks, upgraded technology and enhanced food and beverage offerings. He also said the company's efforts are sure to "restore profitable growth that is sustainable over time."

Jana is not the first activist investor to push Six Flags for changes. In October, only days before Jana's position was unveiled, the company added an executive from activist hedge fund Sachem Head Capital Management, which owns roughly 5% of the company, to the board.
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It's so frustrating to constantly see things like a push for the company to sell based on the latest quarterly earnings. This whole merger process is a process. There will be several years of trimming the fat and reshaping the parks that will lead to a more profitable future. I highly doubt going through a sale and shuffling of the board is going to lead to immediate profit increases. The discourse is always so short-sighted and reactive. Let's at least get through the trimming the fat process and into the renovation years before trying to blow it all up.
 
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This is the group that wants Six Flags to sell the land the parks sit on and then lease it back, yes?
 
The question is would they even sell to. UP would maybe work if it can pass antitrust muster. A major media company, which there's really only a couple realistic possible buyers. A PE sale doesn't really change the underlying market dynamics to make the company come out more valuable.
 
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Jennifer Mason announced last week that she'd be stepping down from the SF Board. I wouldn't be surprised if Jana just wants one of their people in her seat and is making some noise to hopefully make that happen. Also what's interesting is she was the final legacy CF director on the Board, so going forward the entire SF Board will be legacy SF people and people who were appointed post-merger.
 
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https://investors.sixflags.com/news...airman-of-the-Board-of-Directors/default.aspx

CHARLOTTE, N.C.--(BUSINESS WIRE)-- Six Flags Entertainment Corporation (NYSE: FUN) (“Six Flags” or the “Company”), North America’s largest regional amusement park operator, today announced the appointment of Richard “Dick” Haddrill as Executive Chairman of the Six Flags Board of Directors, effective immediately. With Mr. Haddrill’s appointment, Marilyn Spiegel will serve as Lead Independent Director.
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MaxxForceFan said:
Six Flags avoided a proxy fight at the annual shareholder meeting by replacing the board chair now. It is likely that other large investors agreed with Jana on that point. We probably won't find out if the board is exploring a sale of the company until a deal is close to being announced.
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Who the hell would they sell the company too?
 
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