Peak Resorts to buy Roundtop, two other nearby ski spots for $76M
York County's Roundtop Mountain Resort and two other area ski destinations will soon have a new owner.
Peak Resorts announced Monday, Sept. 24, that the company has agreed to spend $76 million for the privately-held Snow Time Inc. — which owns and operates Roundtop in Warrington Township, as well as Liberty Mountain Resort in Adams County and Whitetail Mountain Resort in Franklin County.
Missouri-based Peak Resorts, a leading owner and operator of ski resorts in the Northeast and Midwest, operates 14 resorts, the majority located within 100 miles of major metropolitan areas such as New York City and Boston.
Aquiring Snow Time's resorts will be an opportunity for the company to expand to the Baltimore-Washington, D.C. market.
The purchase: The deal requires Peak to pay $70 million in cash and $6 million in shares of common stock.
To help finance the cash portion, Peak secured a $50 million, two-year loan, as well as $20 million from the sale of 20,000 shares of stock and issuance of accompanying warrants.
The company plans to pay back the loan by refinancing its capital structure.
“I am extremely pleased to pass along the stewardship of Snow Time and our three mountain resorts to Peak Resorts," stated Irvin S. Naylor, founder and chairman of Snow Time, in a news release. "... I view Peak Resorts as the perfect operators to take Liberty, Roundtop and Whitetail to the next level."
Benefits: The benefits of adding three new resorts to Peak's collection include access to a market of about $10 million — and 600,000 visitors to Snow Time's locations last season.
Collectively, Snow Time's resorts have 65 trails, more than 325 skiable acres and an average of about 700 vertical feet of terrain, according to the release.
The new additions will now be included in the company's 10-resort Peak Pass, and those who have already purchased 2018-19 season passes for Roundtop, Whitetail or Liberty can upgrade.
Liberty, Roundtop and Whitetail will also expand Peak's nighttime options, with activities such as night skiing and tubing.
And on top of ski-related activities, they also have two 18-hole golf courses, a 115-room hotel, a 22,000-square-foot conference center at Liberty and more than 20 food and beverage locations.
Four-season amenities offered through the resorts will help summer business in the Northeast, the release states.
“Over the course of more than 50 years, Irvin Naylor and his team have established three exceptionally well-cared-for mountain resorts across the southern tier of Pennsylvania," stated Timothy D. Boyd, president and CEO of Peak Resorts.
"We are delighted that Peak Resorts will continue to grow their appeal for the next generation and beyond,” Naylor added.
The deal is expected to be completed before the beginning of the 2018-2019 ski season, according to Peak's news release.