Leading mountain resort operator Vail Resorts Inc. will add 17 new U.S. ski resorts to its network this fall.
Vail Resorts has agreed to acquire 100 percent of the outstanding stock of Peak Resorts Inc., operator of 17 resorts in the Midwest and East. The purchase is subject to regulatory review and shareholder approval for the purchase price of $11 a share.
“With this acquisition, we are able to make a much stronger connection to our guests in critical cities in the Mid-Atlantic and the Midwest,” Rob Katz, chairman and CEO of Vail Resorts, said in the announcement. The majority of the Peak Resorts are located within 100 miles of major metropolitan areas.
Peak Resorts owns 16 resorts and operates one additional resort, including Mount Snow in Vermont; Hunter Mountain in New York; Whitetail, Jack Frost and Big Boulder in Pennsylvania; Mad River Mountain in Ohio; and Hidden Valley and Snow Creek in Missouri. Vail plans to invest approximately $15 million in capital improvements at the Peak resorts in the next two years.
The deal is expected to close this fall, in time for the 2019-2020 ski season.
Once the transaction closes, Vail and Peak passholders will be able to access many more ski slopes.
“Vail Resorts has a proven track record of celebrating the unique identity of its resorts,” Peak Resorts president and CEO Timothy Boyd said. “Our guests will now have access to some of the world’s most renowned resorts.”
Vail Resorts subsidiaries operate 17 world class mountain ski resorts and three urban ski resorts, including Vail, Beaver Creek and Breckenridge in Colorado, Park City in Utah, Heavenly in California and Whistler Blackcomb in British Columbia.
Both boards of directors have approved the transaction. The Peak Resorts board of directors has recommended that Peak Resorts shareholders approve the transaction.
Peak Resorts is headquartered in Missouri. It’s 17 resorts are primarily located in the Northeast, Mid-Atlantic and Midwest.