Churchill Downs Incorporated (CDI) announced that the company has entered into an agreement to sell 49 percent of its wholly owned subsidiary United Tote Company to NYRA Content Management Solutions, LLC, a subsidiary of the New York Racing Association (NYRA).
NYRA is a not-for-profit corporation that operates the three largest thoroughbred horse racing tracks in the state of New York—Aqueduct Racetrack in South Ozone Park, Queens; Belmont Park in Elmont; and Saratoga Race Course in Saratoga Springs.
United Tote is a leading supplier of totalizator systems, services and equipment and also provides technology services to process wagers and payouts and parimutuel tote services to leading racing operations, including Churchill Downs Racetrack.
The transaction is subject to usual and customary closing conditions, including applicable regulatory notices and approvals, and is expected to close by the end of 2022. As part of the agreement, the United Tote parimutuel settlements business will be excluded and will remain with CDI.
CDI and NYRA intend to work together to create and provide a comprehensive and efficient industry-leading parimutuel solution through United Tote that will expedite the expansion of horse racing seamlessly onto sports wagering platforms to reach new customers. Pending the appropriate regulatory approvals, NYRA will transition its parimutuel wager processing to United Tote in 2023 under a separate agreement.
Churchill Downs owns and operates the iconic Kentucky racetrack of the same name and also owns Turfway Park in Florence, Kentucky, the online horse racing wagering platform Twin Spires and other entertainment venues. Its flagship event is the Kentucky Derby.
