Finley, West Point Back in Force at Saratoga

Winning the Kentucky Derby Presented by Woodford Reserve (G1) can be a life-changing event.

For a racing syndicate, it can be a business changer.

Ever since West Point Thoroughbreds bought a share of a talented but relatively unproven 3-year-old named Always Dreaming , life has moved at a different pace for founder Terry Finley and his operation.

In a few months' time, Always Dreaming won the 2017 Kentucky Derby, and it created two distinct feelings among the roughly 550 investors who make up West Point's clientele.

For the small number of them who owned a share of Always Dreaming, it was a euphoric moment that will never be forgotten—and that they would wholeheartedly like to experience again.

For the rest, there was a fervent desire for it to happen again, this time with them coming along for the joyous ride.

"The Kentucky Derby win changed everything," said Finley, the president and CEO of West Point Thoroughbreds. "That level of our game is absolutely intoxicating. Win a Triple Crown race is what the vast majority of us in the game are trying to do, and I know the partners who got a taste of it, they want to get back there in the worst possible way. Meanwhile, the ones that didn't get a taste but could see what transpired with the other partners, they want a taste of it in the worst way. It feeds on itself being a part of a Derby winner."

While Always Dreaming was a private sale linked to Finley's good friend Vinnie Viola, who also sold West Point a share of 2015 Las Vegas Breeders' Cup Dirt Mile (G1) winner Liam's Map, that search also prompted Finley and West Point chief operating officer Tom Bellhouse to revise their game plan for yearling and 2-year-old sales.

Previously, West Point focused on buying young horses on its own at sales in the range of $100,000-$300,000. But after Always Dreaming came into their lives, aside from private purchases of horses with racing experience, the West Point team took the concept of strength in numbers to a new level.

While still buying some horses on his own, Finley began to more vigorously line up outside partners who would share the cost of a sale topper.

Heading into The Saratoga Sale, Fasig-Tipton's Aug. 5-6 sale of select yearlings, that strategy has proven to be wise and has yielded some intriguing results.

"One of the exciting things is that now there are few horses we would not be able to buy. That never happened before. Thanks to outside partners, we are in play with 95 percent of the horses at a sale," Finley said. "We want a great physical and to get as much pedigree page as we can, but we know there are a ton of really intelligent and sharp buyers who are trying for the same thing, too, so having partners helps us compete."

Only a year ago, West Point's new strategy netted the Saratoga sale topper when it joined forces and pooled financial resources to spend $1.35 million on a son of Medaglia d'Oro  now named Sedgwick who is in training with Graham Motion.

Continuing with that philosophy, West Point spent $4.4 million this year on 10 horses at the Ocala Breeders' Sales March 2-Year-Olds in Training Sale, but there was one gem in the bunch.

Backed by a trio of outside partners, West Point signed a sale-record $2 million ticket for Chestertown, a son of Tapit  and the first foal for the multiple grade 1-winning mare Artemis Agrotera. 

"We've been more aggressive in trying to bring outside partnerships in. We have our core partners in West Point, but there's been a proliferation of these type of deals on the big-dollar horses, and that's very encouraging," Finley said. "You're pooling resources. It's not a new concept. In the business world, it happens all the time. But it's a new format and new concept in Thoroughbred racing for distinct and separate entities and stables to join forces and go after these big-dollar horses at sales."

Sedgwick, out of the Wildcat Heir mare Coco's Wildcat, who hails from the female family of Songbird, brought together West Point with Rob Masiello, Chris Larsen, and Anthony Manganaro's Siena Farm. WinStar, which bred the colt, also retained a 10 percent share.

With Chestertown, a New York state-bred, West Point teamed with Masiello and Siena Farm, while Chester and Mary Broman, who bred the colt and named him, also retained a share of the colt who is preparing for a fall debut with trainer Steve Asmussen after suffering a minor throat ailment.

"In the last 10 years, the vetting process has become much more sophisticated, with developments like stride-length analysis. So, what happens is that you have a smaller group of horses that are for sale anyway because the foal crop is down, and then from that group of horses you have a smaller percentage of horses that jump through every hoop. In today's market, when you have one like that, everyone is on it," said Masiello, who started in ownership as a West Point investor in 2005 and now has his own stable. "I'm not a billionaire, and the only way you can compete is to be smart and partner up, unless you have an unlimited amount of money."

Masiello likened the approach to a slight twist on the way Sol Kumin has become a force in the sport by buying shares of experienced runners and owning pieces of about 100 horses, including 2018 Triple Crown winner Justify.

"It's a model you have to credit Sol Kumin with to a degree. When you look at what Sol does, he's a great guy, he partners with people he likes, and they have a lot of fun and win a lot of races. He does a leg of this and leg of that," Masiello said. "At the end of the day, we all want to run in Triple Crown races or on Saturdays at Saratoga, and the more you can spread it out, the more chances you have to get there. I think Terry realizes that the model has worked for Sol, and it's sort of like what he did before, but he's changed it a bit. Now it's Rob, you take a piece. Vinnie Viola, you take a piece, or even someone who sells the horse can come in."

Finley said he has spent roughly 30 percent more at the sales since the first Saturday in May in 2017, and he has a war chest of about $4 million ready for the yearling auctions such as the Saratoga sale, hoping teamwork among a group of amicable stables can land several horses with the kind of pedigrees that will make life easy for the West Point sales team of Erin Birkenhauer, Jeff Lifson, and Joe Migliore when they court investors.

"It's the wave of the future to have partners," Finley said. "But not every stable or individual is compatible, and the worst thing you can do is to own a good horse with incompatible partners. We have a group of people who will consider a deal with us, and we're the same way if they present us with a horse they like. We're not opposed in any way, shape, or form to buying a minority position in a horse that other people have bought and have offered us a share. The environment in this industry is conducive for operating this way."

Finley also credited the work of bloodstock agent David Ingordo, who is also associated with Lane's End and Hronis Racing, in playing a major role in West Point's well-focused spending spree at the sales.

"David Ingordo has been a game changer with his network of people. We've been working together for the last 2 1/2 years, and it's been good for both of us. We've given him more chances to buy horses, which is a positive, and he's brought us some new partners. So it's a win-win," Finley said. "David's record and his reputation speaks for itself. He's done a really good job for a relatively young person. I'm a big fan of him. He brings the power of Lane's End and brings a lot to us. We also bring a lot to him, and that creates a great relationship."

Ingordo is a prized asset for West Point at the Saratoga sale because his expert eye reduces the pressure on the West Point team during a time when it must blend scouting yearlings with the important tasks of coordinating with a large number of investors during the immensely popular 40-day meet at Saratoga Race Course and monitoring their stable for the races at the Spa.

"David does all the legwork. You can't do everything, especially at Saratoga. You can't manage people, the stable, and do the legwork at the sales. It didn't work for us in the past. So what we've embraced is the philosophy of wanting to stay in our lanes," Finley said. "He will sort through the horses. At Saratoga, you have to check out each horse because there's a smaller number of horses and enough days to see them as opposed to Keeneland, where there's so many horses and it's a struggle to stay ahead of the process."

And so, as Finley, his team, and his partners, such as Masiello, all return to the Saratoga sale, he knows that what happened last year may be sweet but that there's no resting on your laurels in the fast-paced and ultra-competitive confines of a horse sale.

"As the leader of a team, I've always been focused on trying to get better, and one of the keys that we've gotten our arms around is that there is not a special sauce. Knowing that, we allocate our time and resources better than we have in the past," Finley said. "This is a very important time for us at the 2-year-old and yearling sales. We know the purchases we make or the ones we don't in the next few months will have a significant impact on us for the next few years. It's crucial."

And at times like this, after the Kentucky Derby changed the game plan, having some friends and partners in the right place —and with an open checkbook—is surely a step in the right direction.