Activist investor group that includes Travis Kelce aims to revive struggling Six Flags

Key Points

• An activist investor group, including Jana Partners and NFL star Travis Kelce, has acquired approximately 9% of Six Flags Entertainment, aiming to improve the company's performance.
• Following the news, Six Flags' shares surged 17.7% initially and continued to gain 5.1% in after-hours trading, despite being down 47% year-to-date.
• The company reported a significant loss of $319.4 million for the first half of the year, attributed to a 9% decline in attendance and adverse market conditions.
• Kelce expressed his desire to enhance the experience at Six Flags, stating, "The chance to help make Six Flags special for the next generation is one I couldn’t pass up."

An group that includes activist investor Jana Partners and NFL player Travis Kelce says it has accumulated one of the largest ownership stakes in Six Flags Entertainment and intends to press the company's leadership on ways to improve the struggling amusement park operator's business.

Jana said Tuesday that the investor group now owns an economic interest of approximately 9% in Six Flags. The group plans to “engage” with Six Flags' management and board of directors to discuss ways to enhance shareholder value and improve visitors' experience.

Shares in the Charlotte, North Carolina-based Six Flags surged 17.7% on the news. The shares added another 5.1% gain in after-hours trading. Even with Tuesday’s rally, the company’s shares are down about 47% so far this year.

Six Flags reported a loss of $319.4 million for the first half of the year. The company said attendance fell 9% in the three months ended June 29, due partly to bad weather and a “challenged consumer” in most of the markets it operates in.

The investor group also includes consumer executive Glenn Murphy and technology executive Dave Habiger.

Kelce, tight end for the Kansas City Chiefs, said in a statement that he grew up going to Six Flags amusement parks.

“The chance to help make Six Flags special for the next generation is one I couldn’t pass up,” he said.