Cedar Fair(US:FUN) Businesswireยท2025-11-10 11:45Core Viewpoint - Robbins Geller Rudman & Dowd LLP has filed a class action lawsuit against Six Flags Entertainment Corporation, alleging that the company and its executives made false statements regarding its business and financial prospects, leading to inflated stock prices prior to a merger [1][4]. Group 1: Lawsuit Details - The class action lawsuit is titled "City of Livonia Employees' Retirement System v. Six Flags Entertainment Corporation" and was filed in the Northern District of Ohio [1]. - Investors who purchased Six Flags stock in connection with the merger have until January 5, 2026, to seek appointment as lead plaintiff in the lawsuit [1]. - The lawsuit claims that the registration statement for the merger failed to disclose significant underinvestment in Legacy Six Flags, which required millions in additional capital to maintain operations [3]. Group 2: Financial Impact - On the merger closing date, July 1, 2024, Six Flags stock was trading above $55 per share, but subsequently fell to as low as $20 per share, representing a nearly 64% decline [4]. - The lawsuit alleges that the company's executives misrepresented the financial health of Legacy Six Flags, which undermined the rationale for the merger [3][4]. Group 3: Company Background - Six Flags is identified as an amusement park operator, and the lawsuit highlights the operational challenges faced by the company, including a reduction in employee headcount that negatively impacted operational competence and guest experience [2][3].