Friday, April 14, 2017

Can the independent ski resort survive?

A few days ago, Aspen Skiing Company and KSL Capital Partners just acquired Intrawest in a deal valued at $1.5 billion.

We'r e talking about Snowshoe, Steamboat, Stratton, Winter Park and both Tremblant and Blue Mountain in Canada.

The following day, that same group gobbled up Bear Mountain, June Mountain, Mammoth Mountain, and Snow Summit, all in California. While not mentioned in the merger, Squaw Valley and Alpine Meadows (both affiliate of KSL) will also become part of this family.

So now, the big question is what will happen to the small operator like for instance Deer Valley, here in Park City?
Will the new mega-players like this new entity, Vail Resorts, Powdr Corp or Boyne Resorts try to jump on these independents and add them to their portfolio?

This appears to be quite likely as this on-going consolidation seems far from over...

No comments: