UPDATE: Miller Tabak Reiterates Buy Rating, Raises PT on Six Flags Entertainment Corp.
In a report published Wednesday, Miller Tabak + Co. reiterated its Buy rating on Six Flags Entertainment Corp. (NYSE: SIX), and raised its price target to $70.00.
Miller Tabak noted, “Yesterday, Six Flags (SIX: $62.71) announced that the company has priced $800 million of senior unsecured notes due 2021 at 5.25% while last week Six Flags successfully refinanced $600 million of its senior secured credit facility and lowered its borrowing rate by 0.25% to Libor plus 3.0%. The company expects to use the proceeds from the offering to prepay $350 million of its currently outstanding senior secured loans as well as to purchase $500 million of stock through 2015, which is incremental to the $82 million currently available under the buyback program approved in January 2012. The close of the senior unsecured note offering is expected to occur on December 21, 2012 concurrently with the close of the amended senior secured credit facility.”
Six Flags Entertainment Corp. closed on Tuesday at $62.71.
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Tags: Miller Tabak + Co.