DUBAI, United Arab Emirates (AP) — A Dubai firm will pay $7.5 million to Six Flags after abandoning plans to build a version of the U.S. amusement park in the United Arab Emirates amid a slowdown in the economy.
DXB Entertainments, which runs Dubai Parks & Resorts, said Tuesday it agreed with Texas-based Six Flags Entertainment Corp. to pay the amount as “a right of first refusal.”
In February, DXB Entertainments announced it was cancelling plans to build the $454 million Six Flags, citing financing constraints. The company, which owns other theme parks in Dubai, posted a first quarter net loss of $59 million and visits were down 11% over the same period.
DXB Entertainments is majority-owned by Meraas Holding, a development company owned by Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum.