CDI Completes $79 Million Purchase of Ellis Park

Churchill Downs Incorporated announced Sept. 26 that it has completed its previously announced purchase of Ellis Park Racing & Gaming in Henderson, Ky., for cash consideration of $79 million, subject to certain working capital and other purchase price adjustments. In acquiring Ellis Park, CDI also assumes the opportunity to construct a track extension facility with historical racing machines in Owensboro.

"Our team is already hard at work in both Henderson and Owensboro," said CDI CEO Bill Carstanjen. "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's purchase of Ellis Park follows approval of the transaction by the Kentucky Horse Racing Commission Sept. 20. All commissioners in attendance voted in favor of the move, which came five days after CDI announced its deal. The transaction was funded with cash on hand and through the Company's existing credit facility.

"It is not only a great move for Churchill Downs, it is a tremendous economic enhancement for the state of Kentucky," KHRC commissioner C. Frank Shoop said during the meeting. "It's also great for Kentucky horsemen. It's a win-win for everybody."

CDI has stated it plans to spend approximately $75 million over the next year on the aging Ellis Park facility and the track's future Owensboro gaming and simulcasting center. The KHRC indicated Ellis Park will run its usual 24 summer race dates in 2023 under CDI management.