Vail Buys Stowe!
For weeks, the signs have been there: fleet cars with Colorado plates cruising the Mountain Road, helicopters hovering over Spruce Peak, rumors of Vail Resort’s senior management locked in closed door sessions with the head honchos from Stowe Mountain Resort and AIG.
Today, at 8:00 am Vail Resorts announced it had entered an agreement to acquire Stowe Mountain Resort from Mt. Mansfield Company, Inc. (MMC), a wholly owned subsidiary of American International Group, Inc. (AIG), for a purchase price of $50 million, subject to certain adjustments. Stowe Mountain Resort will be Vail Resorts’ first mountain resort on the East Coast and complements the Company’s network of 10 world-class mountain resorts and three urban ski areas.
Over the past few weeks, stock prices for Vail continued to soar, rising to 180 as of close on Friday from 168 on January 24 when VT Ski + Ride first broke the rumors of a potential sale (see 8 Reasons Why Vail Would Buy Stowe) Of particular interest were two SEC filings made last week, Amended Statements of Beneficial Ownership that must be made when a person or organization owns more than 5%. The first was by the Vanguard Group. The second was by Abigail Johnson, who owns a home at Stowe’s Spruce Peak development and also happens to be the CEO of Fidelity Investments.
Read the complete story at VT Ski+Ride
Burlington's Seven Days
Vail to Purchase Stowe Mountain Resort for $50 Million
The rumor mill was right.
Vail Resorts is buying Vermont's most iconic ski area, Stowe, the two sidesannounced Tuesday.
The Colorado-based company will pay $50 million for the ski area on Mt. Mansfield that began as a Depression-era trail cutting project and became known as a luxury winter resort.
“We’re thrilled to add Stowe Mountain Resort to our family of world-class mountain resorts. With the investments in both mountain infrastructure and base area facilities that AIG has made over the years, Stowe Mountain Resort has become the premier, high-end resort for East Coast skiers and snowboarders," said Rob Katz, chairman and chief executive officer of Vail Resorts. "We look forward to working with AIG to continue enhancing the guest experience and to ensure the resort’s long-term success.”
Read the complete story in the Seven Days