Churchill Downs Incorporated has secured an agreement to acquire all outstanding equity interests of Exacta Systems to support Historical Horse Racing operations.
Subject to working capital and other purchase price agreements, the deal has a total consideration of $250m to be provided in cash as Churchill Downs look to bolster existing projects.
The transaction will allow Churchill Downs to enhance recent acquisitions made in the world of Horse Racing, realising synergies between Exacta’s product, its Colonial Downs Racetrack and Rosie’s Gaming Emporium facilities in Virginia.
Bill Carstanjen, Chief Executive Officer of CDI, stated: “For nearly a decade, Exacta has been a creative force supporting the growth of historical horse racing in the US.”
“We look forward to expanding Exacta’s national footprint and further diversifying the game offerings available to players at HRM facilities around the country.”
Supporting operations in Virginia, Wyoming, Kentucky and New Hampshire, Exacta has integrated a number of historical racing machine developers into its platform including AGS, IGT, Light & Wonder, Everi, Konami and Incredible Technologies.
The acquisition is to be treated as an asset purchase, providing the company with incremental tax advantages that will provide additional cash flow and enhance the transaction.
Churchill Downs recently hailed a “significant moment in the evolution” of the company, after closing the $2.75bn purchase of substantially all assets within Peninsula Pacific Entertainment.