Churchill Downs Incorporated (CDI) has entered into an agreement to acquire a 25 per cent stake in Saratoga Harness Racing (SHRI), the racing and gaming operator with venues in three US states. The company has signed a binding term sheet and begun negotiations on a stock purchase agreement which will see it purchase 25 per cent of SHRI’s economic and voting interests.
In addition to its flagship Saratoga Casino and Raceway in Saratoga Springs (New York), SHRI owns a controlling interest in Saratoga Casino Black Hawk in Black Hawk (Colorado); a 50 per cent interest in a joint venture with Delaware North Companies to manage the Gideon Putnam Hotel and Resort in Saratoga Springs (New York), and a minority interest in Ellis Park, a thoroughbred racing and instant racing machine facility in Henderson (Kentucky).
“We are proud to take an ownership interest in Saratoga Harness Racing Inc, which shares with us a passion for offering premier racing and gaming entertainment,” said Bill Carstanjen, president and chief operating officer of Churchill Downs Incorporated.
CDI is also close to finalizing a five-year management contract which will see the company manage Saratoga Casino and Raceway in Saratoga Springs and Saratoga Casino Black Hawk in Black Hawk.
Once finalized, the management contract will become effective as soon as CDI obtains necessary licenses and approvals in New York and Colorado.
Should CDI and SHRI be successful in their joint bid to build Capital View Casino & Resort, a proposed destination resort casino in East Greenbush, New York, CDI will also manage that facility. A binding term sheet for the management agreement was included with CDI and SHRI’s New York casino license application that was submitted in June.
SHRI, together with its partner Rush Street Gaming, filed a second application for a New York casino in Newburgh in the Hudson Valley-Catskills Region.
“We are excited to expand our operations into New York and Colorado and hope to become more involved in the Capitol Region if we are fortunate enough to be awarded a license to build and operate Capital View Casino & Resort,” said Carstanjen.
SHRI secretary and chief legal officer James Featherstonhaugh added: “We are very excited about the expansion of our relationship with Churchill Downs. We look forward to a long and successful partnership between two iconic names in the racing and gaming world.”
Saratoga Harness Racing also operates an interactive betting platform, the e-Bet-powered EmpireCityBets.com, in partnership with Yonkers Raceway.
source : www.gamingintelligence.com
