Dubai: DXB Entertainments agreed to pay Six Flags Entertainment $7.5 million for the rights to decide over the next five years whether to proceed with plans for a Six Flags theme park in Dubai.
“SF Dubai LLC has a entered into a right of first refusal agreement with regard to the intellectual property usage of the brand Six Flags and/or Six Flags Dubai,” the company said in a statement on Tuesday.
DXB Entertainments, originally known as Dubai Parks & Resorts, will make the payment to Six Flags as part of a settlement agreement with both sides agreeing there would be no further claims, it said.
DXB Entertainments, which hasn’t posted a profit since it listed in 2014, scrapped plans earlier this year to open a Six Flags theme park in the emirate when funding became unavailable. The company, which also operates Legoland and a Bollywood-inspired park, posted a loss of Dh215.7 million ($58.7 million) in the first quarter.
The shares gained 2 per cent as of 11:13am in Dubai.