Hunter Mountain ski resort is set to be sold!
Peak Resorts, owner and operator of multiple ski resorts throughout the country, announced that they have entered into an agreement to purchase the ski resort in Greene County for $36.8 million. The closing is expected to take place this month, ending more than a half-century of intimate involvement by the Slutzky family dating back to co-founders, snowmaking pioneers and brothers Orville and Izzy Slutzky.
Peak Resorts, according to its press release, will pay $35 million cash and assume two capital leases valued at $1.8 million.
The purchase price is slightly more than 6 times Hunter Mountain’s adjusted EBITDA (earnings before interest, taxes, depreciation and amortization), which is estimated at approximately $6 million for its fiscal year ending April 30, according to Peak Resorts.
“Hunter Mountain, under the stewardship of the Slutzky families, has become one of the iconic ski resorts in the northeastern United States,” said Timothy D. Boyd, Peak Resorts’ president and CEO, in a press release. “Its reputation as one of the premier snow-making resorts in the East makes it a perfect fit for our portfolio and strategy. We look forward to continuing the rich tradition the Slutzky families have built.”
Gerry Tschinkel, Hunter Mountain’s vice president of sales, marketing and sponsorship is excited about the acquisition, saying he and others at Hunter Mountain “excited for the future and what that will bring to the resort and the community.”
Boyd said Peak Resorts plans to expand Hunter Mountain’s offerings. “Our roadmap for growth calls for a mix of organic growth and resort development as well as acquisitions that will let us build our portfolio of ski resorts in the attractive overnight and day-drive segments of the market,” he said.
Among the improvements made by Hunter Mountain this year were a $1.2 million investment in new snow guns and a $500,000 investment in a state-of-the-art compressor to improve snow-making efficiency. The resort also made trail improvements and expanded its Race Foundation facility.
Peak Resorts operates 13 ski resorts primarily located in New Hampshire, Vermont and Pennsylvania and the Midwest, 12 of which are company-owned.
Adapted from an article in the Daily Freeman on December 1, 2015