Dubai Parks and Resorts secures $270m funding for Six Flags attraction
Consortium of three banks to provide debt financing
Dubai Parks and Resorts says it has secured $270m in debt financing to fund part of the Six Flags attraction it plans to build next to its existing three under-construction theme parks.
A consortium consisting of Abu Dhabi Commercial Bank, Dubai Islamic Bank and Sharjah Islamic Bank will provide the $270 million debt funding, the developer said.
Dubai Parks says it is looking to raise $726.8 million primarily to finance the development of Six Flags Dubai, through a combination of debt and equity funding.
The debt portion accounts for approximately 37% of the total financing being raised, Dubai Parks said in a statement to the Dubai Financial Market. At a General Assembly being held on April 18, 2016, shareholders will vote on a special resolution to approve an increase in the developer’s capital through a proposed rights issue to raise the remaining $457.3 million, the company added.
Six Flags Dubai is expected to open in late 2019 with 27 rides and attractions. Six Flags Inc is one of the largest amusement park companies in the world, based on the number of parks it operates, and the fifth most popular in terms of attendance.
“Dubai Parks and Resorts has a clear strategy to be the largest leisure and entertainment destination in the Middle East. The proposed Six Flags branded theme park will strengthen the appeal of our destination for thrill seekers of all ages, complementing Motiongate Dubai, Legoland Dubai and Bollywood Parks Dubai, which are on schedule and on budget to open in October this year,” said Raed Kajoor Al Nuaimi, chief executive of Dubai Parks.
“We are pleased to have the support of the banking community as we expand our entertainment offering,” he added.
