Churchill Downs (CDI) has completed an acquisition of Ellis Park Racing & Gaming in Henderson, Kentucky for an initial cash consideration of $79m. This deal is still subject to working capital and purchase price adjustments.
When finalized CDI will both acquire Ellis Park and assume the opportunity to construct a track extension facility with historical racing machines in Owensboro, Kentucky. CDI’s purchase of Ellis Park follows its obtaining approval by the Kentucky Horse Racing Commission. The transaction was funded through a combination of cash and the company’s existing credit facility.
CDI CEO Bill Carstanjen commented: “Our team is already hard at work in both Henderson and Owensboro. In the coming days, we look forward to sharing more about our plans to invest in the racing infrastructure at Ellis Park and to drive significant purse improvement through the Owensboro historical racing opportunity.”
CDI is a racing, online wagering and gaming entertainment company anchored by its iconic flagship event, the Kentucky Derby. It owns and operates five gaming entertainment venues with approximately 4,200 historical racing machines in Kentucky. It also owns and operates TwinSpires.
Ellis Park is an important purchase for the company. In addition to being recognized as the historic home of summer thoroughbred racing in Kentucky, Ellis Park also features a gaming facility venue with approximately 300 historical racing machines.
CDI has been on a recent run of acquisitions in a number of gambling areas, which included last month’s purchase of the Chasers Poker Room in Salem, New Hampshire.
