Earlier this week, Six Flags released a statement confirming that the company will not exercise its call option to acquire full ownership of Six Flags Over Texas, passing on the opportunity to buy out the remaining shares of the park’s ownership. The announcement understandably caused a flurry of questions and concerns from park enthusiasts, but what does this actually mean for the Arlington, Texas theme park? Guide to SFoT‘s take can be found below, based on all available information.
As explained on our Park History page, Six Flags over Texas has a unique ownership arrangement. Unlike most other Six Flags parks, SFoT is not fully owned by the Six Flags corporation. Instead, the park is operated and managed by Six Flags but partially owned by a group of original landowners and investors commonly known as the Texas Flags Trust. Under the long‑standing partnership agreement, Six Flags had the option to purchase the Trust’s remaining ownership units in 2028—but only if the company notified the partnership by December 31, 2025. That deadline has now passed, with Six Flags declining the opportunity.
What does this mean for Six Flags over Texas?
There is likely no practical impact for the park, as Six Flags will continue to operate SFoT exactly as it has for decades. The Texas Flags Trust will continue to own the land and physical assets, and Six Flags will continue paying rent and sharing profits under the existing lease and management agreement. By declining the buyout, Six Flags avoids the substantial lump‑sum payment that would have been due in January 2028.
Why did Six Flags decline to buy out Six Flags over Texas?
All available information points to financial considerations. The buyout price is determined by formulas in the original partnership agreement—formulas that likely produced a cost far higher than the company was willing or able to take on right now.
Six Flags is also still navigating the financial realities of the Cedar Fair/Six Flags merger. The combined company is carrying billions in debt and has reported significant operating losses, making a large cash commitment in 2028 financially unrealistic. The timing of a buyout simply isn’t right.
Six Flags has not disclosed the buyout price, but based on the partnership’s valuation formulas and the park’s earnings, analysts believe the cost would likely have been several hundreds of millions of dollars—an amount that would have been difficult for the company to commit to given its current financial position.
Does this mean Six Flags isn’t committed to SFoT?
Not at all. The level of investment at Six Flags over Texas over the past year—much of it being done for a major 2026 season—shows that the company continues to view the park as a flagship property worthy of significant investments. The ownership structure of the park has long been unusual, but Six Flags has reiterated the importance of the park, and fans have little to be concerned about regarding its future.
“This was a difficult and deliberate decision. Six Flags Over Texas is a foundational park in our system and a prized asset within our portfolio. While the contractual terms do not currently align with our capital allocation priorities, we remain deeply committed to the long‑term success of the park and believe it has a bright future as part of the Six Flags portfolio.”
– John Reilly, President & CEO of Six Flags
Will this affect future rides or expansions?
No. Six Flags’ ability to add rides, refurbish attractions, and invest in the park is not limited by the ownership structure. Things will continue operating as they have for decades.
Does the Trust influence park decisions?
No. The Trust is essentially a landlord and profit‑sharing partner, but it is not an operator. Six Flags still makes all operational, creative, and capital decisions for the park.
Could a buyout still happen in the future?
Yes. The company specifically stated it will continue discussions with the partners, possibly negotiating a different deal in the future with more favorable terms for Six Flags—or at a time when the company is in a stronger financial position.
Summary: What you Need to Know
- Six Flags chose not to buy out Six Flags over Texas, so the Texas Flags Trust keeps its ownership stake.
- Operations stay the same—Six Flags continues running the park as it has for decades.
- The buyout was likely too expensive, with estimates placing the cost in the hundreds of millions.
- Six Flags’ current financial situation (debt and merger‑related losses) made the timing unrealistic.
- SFoT remains a priority, with major investments underway for the 2026 season.
- A future buyout is still possible if terms or financial conditions improve
See Original Press Release
Six Flags Announces Decision Regarding Six Flags Over Texas Partnership Call Option
CHARLOTTE, N.C.–(BUSINESS WIRE)– Six Flags Entertainment Corporation (NYSE: FUN) (the “Company” or “Six Flags”), the largest regional amusement park operator in North America, today announced it will not exercise its contractual call option to acquire the remaining non‑controlling partner interests in Six Flags Over Texas, located in Arlington, Texas, as provided under the existing partnership agreement governing the park.
Under the terms of the agreement, Six Flags was required to notify the partnership no later than December 31, 2025, regarding its intent to exercise the option, which would have resulted in a payment due in January 2028. After careful consideration, the Company has determined it is currently not in its best interest to exercise the call option.
“After careful consideration of the terms of the partnership agreement and the strategic objectives of the Company, we have determined not to exercise the call option with respect to Six Flags Over Texas,” said John Reilly, president and CEO of Six Flags. “This was a difficult and deliberate decision. Six Flags Over Texas is a foundational park in our system and a prized asset within our portfolio. While the contractual terms do not currently align with our capital allocation priorities, we remain deeply committed to the long‑term success of the park and believe it has a bright future as part of the Six Flags portfolio.”
Reilly added, “We will maintain constructive discussions with our partners regarding our continued interest in Six Flags Over Texas. In the meantime, our focus remains on driving operational excellence in the park for the benefit of our guests and the Dallas-Fort Worth Metroplex.”
Six Flags will continue to operate and manage Six Flags Over Texas pursuant to the existing partnership agreement. The Company has continued to invest in the park through capital improvements, new attractions, and enhancements to the guest experience, underscoring its confidence in the park’s long‑term growth and strategic importance to the Six Flags portfolio.
The Company noted that this decision does not affect its ownership or operations of Six Flags Over Georgia, for which Six Flags exercised its call option in December 2024.
SIX FLAGS ENTERTAINMENT CORPORATION
Six Flags Entertainment Corporation (NYSE: FUN) is North America’s largest regional amusement-resort operator with 27 amusement parks, 15 water parks and nine resort properties across 16 states in the U.S., Canada, Mexico and Saudi Arabia. Focused on its purpose of making people happy, Six Flags provides fun, immersive and memorable experiences to millions of guests every year with world-class coasters, themed rides, thrilling water parks, resorts and a portfolio of beloved intellectual property such as Looney Tunes®, DC Comics® and PEANUTS®.
FORWARD-LOOKING STATEMENTS
Some of the statements contained in this news release that are not historical in nature are forward-looking statements within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements as to our expectations, beliefs, goals and strategies regarding the future. Words such as “anticipate,” “believe,” “create,” “expect,” “future,” “guidance,” “intend,” “plan,” “potential,” “seek,” “synergies,” “target,” “objective,” “will,” “would,” similar expressions, and variations or negatives of these words identify forward-looking statements. However, the absence of these words does not mean that the statements are not forward-looking. Forward-looking statements by their nature address matters that are, to different degrees, uncertain. These forward-looking statements may involve current plans, estimates, expectations and ambitions that are subject to risks, uncertainties and assumptions that are difficult to predict, may be beyond our control and could cause actual results to differ materially from those described in such statements. Although we believe that the expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct, or that our growth and operational strategies will achieve the target results. Important risks and uncertainties that may cause such a difference and could adversely affect attendance at our parks, our future financial performance, and/or our growth strategies, and could cause actual results to differ materially from our expectations or otherwise to fluctuate or decrease, include, but are not limited to: failure to realize the anticipated benefits of the merger, including difficulty in integrating the businesses of legacy Six Flags and legacy Cedar Fair; failure to realize the expected amount and timing of cost savings and operating synergies related to the merger; adverse weather conditions; general economic, political and market conditions; the impacts of pandemics or other public health crises, including the effects of government responses on people and economies; competition for consumer leisure time and spending or other changes in consumer behavior or sentiment for discretionary spending; unanticipated construction delays or increases in construction or supply costs; changes in capital investment plans and projects; anticipated tax treatment, unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, financial condition, losses, future prospects, business and management strategies for the management, expansion and growth of the Combined Company’s operations; legislative, regulatory and economic developments and changes in laws, regulations, and policies affecting the Combined Company; acts of terrorism or outbreak of war, hostilities, civil unrest, and other political or security disturbances; and other risks and uncertainties we discuss under the heading “Risk Factors” within our Annual Report on Form 10-K and in the other filings we make from time to time with the Securities and Exchange Commission. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this document and are based on information currently and reasonably known to us. We do not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after publication of this news release.
This news release and prior releases are available under the News tab at https://investors.sixflags.com
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