The Illinois Gaming Commission voted to approve a deal giving Churchill Downs Inc. majority ownership in Rivers Casino in Des Plaines. Churchill Downs will pay at least $326 million in cash to investment groups to acquire 50.1 percent of Rivers Casino’s parent company, Midwest Gaming Holdings. The deal is expected to close before June 30. Churchill Downs officials pursued the deal to be “favorably positioned” at the Des Plaines casino if Illinois lawmakers approve sports betting.
Midwest Gaming and parent company Rush Street Gaming Chief Executive Officer Greg Carlin said, “We are thrilled to have Churchill Downs become our partner in Des Plaines, because they share our vision for the future of Rivers Casino and our commitment to our team members, community and guests. They have a tremendous record of success and innovation. With their representation on our board of managers, we’re confident Rivers will remain one of the most successful casino destinations in North America and one of the best places to work in Illinois.”
As part of an agreement to receive a casino license in 2011, Des Plaines must share a portion of its annual gaming tax receipts of around $25 million. About $10 million goes to the state, $6 million goes to 10 economically disadvantaged communities and City Manager Mike Bartholomew said Des Plaines generally receives about $8.9 million annually for infrastructure expenses.
Churchill Downs has long claimed the lack of state approval of slots at Arlington Park racetrack in Arlington Heights has hampered its ability to compete. Churchill Downs Chief Executive Officer Bill Carstanjen has said allowing sports betting at Rivers Casinos would allow the company an entry into the Chicago market.
The 44,000 square foot gaming floor at Rivers Casino offers 983 slot machines and 58 table games. The property also has seven dining and entertainment options and an event center.
