Six Flags mulling stock move to avoid delisting
Written by Robert Niles
Amusement park chain Six Flags is considering a "reverse stock split" in an effort to push its share price above the $1 cut-off for being removed from major stock exchanges.Tweet
Six Flags' stock has been languishing a few cents below a buck and if it doesn't rise soon, and stay there, the stock could be delisted.
A reverse stock split would consolidate shares, giving shareholders, say, one "new" share of Six Flags in exchange for every five "old" ones. Yeah, it's an accounting dodge, but it can be effective, not only in avoiding delisting, but in improving traders' perception of the stock.
Six Flags' financial troubles are well documented (search the TPI archives at right for plenty of posts, threads, etc.) , saddling the company with debt that's made turnaround at some parks too little too late to pump the stock price.
This article has been archived and is no longer accepting comments.
Previous article: Have you submitted your favorite theme park travel tips yet?
What's it like to work at Disney World?
Insider's Pick: Ever wondered what it would be like to work at the Walt Disney World Resort? Stories from a Theme Park Insider offers more than 100 pages of fun, insightful, and even sometimes touching stories from people who've worked at Disney World's Magic Kingdom. It's a great way to get in the mood for your next trip to Orlando, or just to keep the memories of a Disney World visit alive.
Top U.S. Theme Parks
Walt Disney World's Magic Kingdom
Other Top International Parks
Features, News and Advice
"Stories from a Theme Park Insider"
Connect with Theme Park Insider