A few years ago, Churchill Downs Incorporated (CDI), the parent company of Churchill Downs, announced its intention to divest its stake in United Tote, a provider of totalizator equipment and services for parimutuel wagering at racetracks. CDI initially acquired the stake in United Tote back in 2010 as a part of an acquisition of Youbet.com. The totalizator equipment company was a part of Youbet.com after it was purchased from IGT for $12.3 million in 2003.
Upon announcing the plans to sell its 49% stake in United Tote, CDI did not disclose financial details. At the time the divestment was announced, the company said that it intends to sell its stake to the New York Racing Association (NYRA), a subsidiary of NYRA Content Management Solutions.
The Company Did Not Disclose Financial Information about the Divestment
Although the initial acquisition was announced back in August 2022, it was recently finalized. On Monday, CDI confirmed that it has successfully closed the sale of its 49% stake in United Tote, effectively transferring the assets to NYRA. Not unexpectedly, while CDI confirmed it finalized the acquisition, financial details regarding the deal were not disclosed.
βChurchill Downs Incorporated announced today that the company closed on the sale of 49% of United Tote Company, a wholly-owned subsidiary of CDI, to NYRA Content Management Solutions, LLC, a subsidiary of the New York Racing Association,β
reads a statement released by CDI
Currently, NYRA operates as a non-profit organization, conducting thoroughbred racing for three of New Yorkβs largest racecourses, Aqueduct Racetrack, Belmont Park and Saratoga Race Course. Overall, NYRA contributes more than $3 billion to the stateβs economy and helps support some 19,000 jobs in the sector.
In February, CDI confirmed its plans to open Owensboro Racing & Gaming, its newest historical racing machines entertainment venue, in early 2025. The new entertainment outlet, located in Daviess County, Kentucky, will take approximately 20 acres of land, offering visitors exciting experiences. Once open, Owensboro Racing & Gaming is expected to generate $125 million in annual regional economic impact, while supporting an estimated 150 permanent jobs in the region.