Churchill Downs Incorporated said it intends to offer$200m in aggregate principal amount of senior notes.
The private offering will be subject to market and customary conditions, with the notes due in 2028, CDI said.
The company previously issued $500m in aggregate principal amount of 4.75% senior notes, also due in 2028. Officials said the new notes will be issued as additional notes under the same indenture, and will have identical terms to the existing notes, other than the issue date and the issue price.
CDI said it intends to use the net proceeds from the new offering for three purposes: to repay debt under its revolving credit facility, to fund transaction fees and expenses, and for working capital and other corporate purposes.
The notes haven’t been registered under the Securities Act of 1933, as amended, or any state securities laws, and therefore only will be sold to “persons reasonably believed to be qualified institutional buyers,” the company said in a statement.
The notes will not be listed on any securities exchange or automated quotation system, CDI added.
Churchill Downs Incorporated is a racing, online wagering and gaming entertainment company. Its flagship event is the Kentucky Derby, and it owns and operates three pari-mutuel gaming entertainment venues with approximately 3,050 historical racing machines in Kentucky.
CDI also owns and operates TwinSpires, one of the largest online wagering platforms for horse racing, sports and online gaming in the US, and it operates seven retail sportsbooks. The company is in brick-and-mortar casino gaming in eight states, with approximately 11,000 slot machines and video lottery terminals and 200 table games.
