Six Flags Investors Face Jan. 5 Deadline to Seek Lead Role in Merger-Disclosure Lawsuit

Overview

• Filed as City of Livonia Employees' Retirement System v. Six Flags Entertainment Corporation, No. 25-cv-02394, the putative class action is pending in the U.S. District Court for the Northern District of Ohio.
• Investors who bought shares pursuant or traceable to the July 1, 2024 merger have until January 5, 2026 to move for appointment as lead plaintiff.
• The complaint asserts Securities Act claims that the registration statement was negligently prepared and omitted material facts, including alleged years of underinvestment, headcount cuts under CEO Selim Bassoul, and undisclosed capital needs.
• Plaintiffs point to Six Flags’ August 6, 2025 results—$930 million revenue, $243 million adjusted EBITDA, leverage of about 6.2x, a $215 million EBITDA guidance cut, and CEO Richard Zimmerman’s departure—as undermining merger projections.
• Filings note the stock traded above $55 at merger close and later fell to about $20, and the combination created what was described as North America’s largest regional park operator with roughly 40 properties.