The ski resorts acquisition binge

In these days of global warming, you'd think that only Trump would be foolish enough buying a ski resort, as the prime denier of human-caused climate change, but this is not quite the case.

In the past years, some major conglomerates have been purchasing ski resorts, left and right, with seemingly little concern or regard about average global temperatures on the rise and a ski market size that stubbornly refuses to grow.

The recent purchase price of Deer Valley Resort to KSL/Crown wasn't disclosed but it must have been hefty to convince its former owners to sell.

If we were to use a metric to peg recent ski resorts acquisition cost and begin with Whistler's purchase for $1.1 billion by Vail Resorts, based on 2,100,000 skier visits during the 2015-2016 season, this would equate to about $525 per skier day.

If we apply that same rule to Deer Valley, we'd get to $360 million, but my own sense and the fact that Vail Resorts must have participated in the bid, tell me that the transaction much have been at least pushed to the $500 million mark to reach the tipping point that shocked everyone.

The planet isn't the only thing that is heating up these days!