Kevin Yuann’s Post

UPDATE: It's happening! The plan is to be fully merged by the 1st half of 2024: New Name: Six Flags Entertainment Corporation Stock Symbol: FUN (Cedar Fair's Current) New Exec Chairman: Selim Bassoul (Six Flags CEO) New CEO: Richard Zimmerman (Cedar Fair CEO) Headquarters: Charlotte, NC (Cedar Fair Headquarters) Cost Savings: $200M Annually 🎢 Big report dropping today courtesy of The Wall Street Journal (I paid for a subscription so you don’t have to)! Six Flags  and Cedar Fair Entertainment Company are reportedly on the verge of a merger, a union that would consolidate two of the U.S.'s leading regional theme park chains. 🚀 This week could mark a definitive agreement, barring any unforeseen hitches. This comes at a crucial time, as Cedar Fair is poised to disclose its quarterly results on Thursday. 🌟 What's at stake? >Cedar Fair, famed for attractions like Carowinds and Cedar Point, could bolster its national presence. >Six Flags, known for its 27 parks spanning North America, could expand its footprint, especially in the Midwest. Both chains, with market values sub $2 billion, saw their shares surge post-announcement, highlighting investor enthusiasm. 🎡 Why do it? >Cost Savings: With any merger, you can reduce the corporate ‘behind-the-scenes’ costs of each company which allows you to increase the profitability of the org >Removes competition: If I buy my competition, they aren’t competition anymore and I can reduce the time and costs spent trying to pull customers towards my product >Consolidation: Reduce the number of parks in key markets. You could shift all the people to one park, with no real potential revenue loss, but now you only have to pay to operate one location instead of two. This one is harder to do because these parks have so much infrastructure invested in them but moving a roller coaster has been done before and will be done again. As theme park operators seek recovery post-pandemic, this deal could be a game-changer, marking a significant shift in the landscape. I’ll keep you posted if I hear more! (thank to ChatGPT for the pic)  #ThemeParks #Merger #BusinessStrategy #SixFlags #CedarFair

Three quick thoughts on EG7 / Daybreak’s acquisition of Singularity6 1️⃣ Will other gaming studios who raised during the top of the cycle follow suit? S6 had raised a total of $49mm through its first rounds of financing. It was well known that the company, after years of design and development, had faced financial difficulties. I wonder if this is a sign to come for other companies funded during the height of the ‘20 / ‘21 cycle. I would say three years of burn is pretty typical for studios developing new content, so its likely that other companies in S6’s “cohort” will be facing a similar decision point. I wonder if this is a harbinger of more M&A to come in the early stage games space. 2️⃣ On face value, Daybreak plans to turbo-accelerate revenue… The press release quoted Daybreak CEO as saying that he expected S6 to contribute “meaningfully” to group topline and EBITDA by 2026. Taking a swag at this, EG7’s ‘26 revenue target is approximately $300mm. To make a “meaningful contribution” I would define as contributing 5-10% of total revenues, which is $20-30mm. That means that at the high end of S6 estimated revenues (my best guess - 100k MAUs x $20-30 ARPU = 2-3mm of forward revenue), the company would have to grow 5-10x in the next 2 years. That backs out to a CAGR of 20-30% per year. By comparison, the median of public gaming company growth has been about 5-10% in the past few quarters. It’ll be interesting to see what techniques Daybreak will utilize to pump topline  3️⃣ …but doing so will come at a material cost The capital required to grow a game 10x is no trivial task. Between integrating systems, implementing best practices, redesigning monetization strategies, marketing, UA, and a slew of other tasks, it’s likely the costs to accelerate Palia’s growth could potentially match those of the acquisition itself. This is a huge “hidden cost” in gaming acquisitions, and really acquisitions in general. The key to remember is this - many synergies, ESPECIALLY revenue synergies, actually require a cost to achieve. What are your thoughts on this acquisition? #gaming #games #gamesindustry #manda #mergersandacquisitions #deals #singularity6 #palia #mmo #rpg #cozygames #daybreak #eg7 #finance

📣Announcement: T72 Club Inc. Acquires Nickelytics! 📣 We're elated to welcome Nickelytics to the prestigious T72 Club Inc. family.T72 centers on capital investments into high-potential growth companies, leveraging our 30+ years of cross-industry leadership experience to drive significant business growth and transformation. Our team is well poised to provide Nickelytics with the requisite support and resources. This collaboration ensures Nickelytics' sustained growth and prominence in the ad tech landscape. Syed Shahanawaz, Chief Executive Officer at T72, encapsulated the merger as, "We believe in the transformative potential of technology and its ability to unlock new opportunities. The integration of Nickelytics' advanced advertising solutions is a testament to this belief, and we look forward to seeing our combined capabilities evolve to the next level." “The addition of Nickelytics to our portfolio represents our dedication to investing in companies that not only show significant financial potential, but also contribute unique, strategic value to their industries. This acquisition represents a fusion of Nickelytics’ unique market offering and T72’s forward-thinking technology and strategic operational capabilities” stated, Rajendra Badadare, our Co-founder at T72. Judah Longgrear, Co-Founder & CEO, expressed, "This milestone recognizes our unwavering commitment and sets the stage for a brighter, collaborative future."Let's look forward to harnessing the combined expertise of both entities and achieving monumental success!Read more about the acquisition and T72 in the comments below: #T72 #Acquisition #AdTech #BusinessGrowth #IndustryLeaders #OOH  #TampaBay #Dallas

Excited to announce that T72 Club acquires Nickelytics. Under the awesome leadership of Judah Longgrear, Nickelytics has grown to be an innovative OOH AdTech platform. At T72, we are super thrilled to work alongside the Nickelytics team to help scale and bring this AdTech platform to brands, advertisers, event organisers across the globe. About Nickelytics: It is a platform that makes launching hyper-local out-of-home advertising as simple as posting online ads. Nickelytics brings together the physical presence of outdoor advertising with the power of digital technology for unbeatable results. Nickelytics leverages out-of-home advertisements through premium mobile assets, such as gig economy vehicles, autonomous delivery robots and e-scooters to help marketers reach customers regardless of location. Mobility asset owners also receive another stream of revenue by partnering with marketers. With the help of Nickelytics’ analytics, companies can better comprehend their return on ad spend thanks to Nickelytics’ sophisticated attribution and digital retargeting capabilities. Nickelytics is currently active in the US. So all you awesome brands, ad agencies, advertisers, event organisers, head to their website to know more and register a slot to learn how we can launch a cool campaign in the city you have your business interests and audience: https://lnkd.in/gGi8vBU8 About T72 Club: Founders: Snehal Fulzele, Rajendra Badadare and Syed Shahanawaz. T72 Club is a global enterprise with a niche in acquiring high-performing businesses, each displaying a distinctive value proposition, robust profit margins, and an annual recurring revenue (ARR) exceeding $1M. Our reach extends beyond mere acquisitions; we forge strategic partnerships with our portfolio companies, providing them with our seasoned operational expertise, capital resources, and an expansive network, all of which are aimed at aiding these companies on their upward trajectory. At T72 Inc, we're not just investors, we're partners in success. To know more, check our website here: https://t72.club #t72club #nickelytics #mergersandacquisitions #digitalooh #ooh #oohadvertising #adtech #startup

How does it feel for the founder to sell their business and stay with the company that acquired it? 💡 We talk a lot about founder-acquirer fit, and this is exactly what it is about. If you fail to negotiate the terms going forward, selling a company to an acquirer who is not aligned with your vision may mean you'll get a front-row seat on a wild ride. There are a few important questions founders should ask themselves and then communicate to their potential buyers before going forward: 1. What is your dream exit? 2. How do you see further growth for the company? 3. Are there successful prior partnerships? 4. What kind of restructuring could the team be in for? 5. What performance indicators are most important for you? Peter L. is a solo founder who wanted to take the chips off the table and have more time with his family. Staying with saas.group wasn't a plan at first. It was well into the negotiations that he saw there was a possibility for a true partnership. After asking all those questions, he realized he could have what he wanted from the exit while also working on something he really enjoyed. And we love that story. At saas.group we are proud to give founders the exit they deserve while being flexible and attentive to personal life situations. Listen to what else Peter has to say about the post-acquisition period, the way he transitioned into a slightly different role, and the support he and the company now have for further growth. Links to the full episode are in the comments 👇

Are private companies in games getting ready for IPOs? With the market environment thawing, it’s helpful to revisit the list of private companies in gaming and take a look to see if any could join the rare list of publicly traded gaming / gaming tech names. Konvoy released a great report last week looking at the privately listed companies in the sector. Many notable names are definitely on the list. But the question remains, how many of them are poised to go public? Three things to consider: 1.) Could a more attractive valuation be reached in a sale?  M&A is always the alternative to going public, and often a more attractive one, as the ability to unlock synergies creates higher values for owners. Furthermore, remaining private avoids the demands and pressures the public markets, where quarterly earnings and public shareholders can easily sway a company from its long-term strategy. However, the challenge for many of these gaming companies is whether a suitable buyer exists. The nature of M&A in games is a unique one, as each large acquisition (MSFT / ATVI, TTWO / ZNGA, etc.) takes TWO (no pun intended) potential buyers off the table. Out of the list of private companies, I see Discord and Dream + below as being potential M&A targets.   2.) Are current valuations attractive, or could the company define a new slice of the sector?  Valuations are always anchored on comparable companies, and the current valuation environment is still well below historical averages. Companies seeking to go public at a premium to their peers will need to articulate a compelling case of why they are better, or craft a reason of why they are in their own sub-class of gaming company. Out of these public companies on this list, Epic and Improbable have the best chance of achieving this. However, this will be a difficult journey, as the narrative around “metaverse” in games has largely cooled. I’m not sure which companies in the list are a clear choice to redefine the categories. 3.) Is there a compelling need for current investors to achieve liquidity?  Sometimes, even if conditions 1 and 2 are not met, a company might still go public if a pressing need for liquidity existed. Pressure from existing shareholders might compel a company to accept a “good enough” outcome even if multiples were not as high as they might have hoped. But in looking at the list of private companies, many of the larger names’ biggest checks have come from strategic investment (Epic / Disney, Lego / Niantic, etc.) Strategics gain benefits aside from pure financial returns from these companies, and thus may be able to hold for longer. What are your thoughts among the IPO prospects of these gaming companies? Any one of these you think likely to go in the coming year? #gaming #games #gamesindustry #ipo #mergersandacquisitions #epicgames #discord #improbable #niantic #dreamgames #moonactive #MPL

These #KeyIndicators can tell you when a startup's exit window is open #Acquisition #ExitOpportunity #AngelInvesting

🌟 Celebrating a Remarkable Success Story! 🌟 I am thrilled to share the incredible success story of my recent work portfolio and case study! 📈✨ In the past period, our app has achieved outstanding results in terms of store listing acquisitions, totaling an impressive 1,972,988 acquisitions! These acquisitions have been driven by various channels, with Google Play search leading the pack with 1,615,131 acquisitions, followed by Google Play explore with 349,093 acquisitions. Additionally, ads and referrals contributed 8,764 acquisitions to our success. 🚀 What's truly remarkable is the stellar performance of our store listing, attracting a staggering 5,397,169 visitors! Out of these visitors, 1,972,988 have converted into acquisitions, resulting in a phenomenal conversion rate of 36.56% - a significant increase of +36.56% compared to the previous period! 📈💥 These outstanding results are a testament to the effectiveness of our strategic approach and the hard work and dedication of our team. It's clear that our efforts to optimize the store listing, leverage Google Play channels, and implement targeted ads and referrals have paid off in a big way. I invite you to dive deeper into this success story by exploring my previous work portfolio and case study. Together, we can uncover the strategies and tactics that have contributed to this remarkable achievement and gain valuable insights for future endeavors. Thank you to everyone who has been a part of this journey - your support, collaboration, and dedication have been instrumental in our success. Let's continue to push the boundaries, innovate, and strive for even greater heights of success together! 🌟💪 #SuccessStory #AppAcquisitions #StoreListingOptimization

“Sorry, we have to cancel the acquisition of your company. Due to the looming economic crisis, our buyer, 2 hours before signing, decided to keep their cash, and canceled four other looming acquisitions.” Here’s the story of how the sale of my second company failed massively (but set me up for success): By 2008, my company Spirit Shop had built 20,000 online stores for high schools in the US. We gave these school communities access to a wide catalog of custom products that they could order directly online. It was super exciting to build. We got to a point that there was consistent inbound interest to buy the business. Our chief competitor Zazzle, made an offer to buy us out. We had a choice. We could go out and raise more capital to grow faster and dilute our equity or we could sell the company to Zazzle. After crunching the numbers, we decided to merge with Zazzle. And I decided to run the sale process myself since I had already sold a company before. Here was the catch: They didn’t want any of our employees, they just wanted our business and for me to come on board and run the new school division of Zazzle. So, with pricing, terms and milestone payments established, I flew out to Silicon Valley to join their team prior to inking the deal. In my mind, we had sold the company. However, on my first day in their office, while sitting at my new desk, I was shocked to get a tap on the shoulder from the President of the company: The Board of Directors canceled the sale. It was August of 2008 and to their Board, the path forward was clear. They needed to keep all of their cash to get through what was later called The Great Recession. I was stunned. Within minutes, the offer, and my self-imposed identity as a successful tech founder in Silicon Valley just disappeared. I’d told all of our employees that we were selling the business a month prior and everyone had found new jobs. I had to shut down the company. Why am I telling you this? Because I know what it’s like to move forward with an acquisition and for the floor to fall out beneath my feet. It is the reason that I’m so passionate about helping my fellow founders get the best M&A representation so terms and conditions are set and what happened to me will never happen to them. That’s why at Exitwise, we get it done for our clients. Selling your business? Reach out by DM. We’d love to help. P.S. - Get some value? Follow me for daily posts.

🎉 Exciting news just in! 🎉 Wallboard has officially welcomed Keywest Technology, Inc and Unified Brand Communications into our ever-growing family. That’s right, we’re not just collecting companies, we’re collecting all the cool kids on the block! 🌟 With these two powerhouse acquisitions, we’re adding over 500 unique end user accounts to our vibrant ecosystem, which already boasts more than 2,000 happy campers. 🏕️ Why stop at a small town when you can build an empire? Here’s to more growth, more innovation, and, let’s be honest, more reasons to buy a bigger trophy case! 🏆 Read more about the acquisition in the comments 👇 #Growth #Acquisition #WallboardCMS #DigitalSignage #CMS #OnwardsAndUpwards #KeyWestTechnology #UnifiedBrand