Churchill Downs Incorporated has completed the sale of 49% in the United Tote division to New York Racing Association.
NYRA Content Management Solutions (a NYRA subsidiary) will acquire the stake in the deal agreed on August 20, 2022. CDI did not disclose the financial terms of United Tote’s sale.
United Tote is a supplier of totalisator equipment, systems and services. The company also offers a variety of services in technology to handle bets, payouts and tote pari-mutuel services.
In the original agreement, CDI and NYRA would provide pari-mutuel solutions through United Tote in order to reach their customers. The United Tote business of pari-mutuel betting settlements was excluded from the deal and would remain at CDI.
NYRA, a non-profit organization, operates three of the largest thoroughbred racing tracks in New York. Aqueduct Racetrack is located in South Ozone Park (Queens), Belmont Park at Elmont, and Saratoga Race Course near Saratoga Springs.
CDI to record revenue in 2023
CDI reported record-breaking financial results in 2023. During the 12 months to 31 December 2023, revenue reached a record $2.46bn (PS1.94bn/EUR2.27bn), up 36.0%.
All business units saw an increase in revenue. This growth is most evident in CDI’s historical and live racing segments. The division has now surpassed CDI’s gaming business as its primary revenue source.
CDI’s adjusted EBITDA, which was 39.0% more than the previous year, was $1.02bn. This was a record for CDI.
Although the net profit fell 5.0% to $417.3m, this was due to increased expenditure.
CDI announces new historic racing venues
CDI announced that it would be opening new facilities both in Virginia and Kentucky.
The Rose Gaming Resort, Virginia’s first phase has now been approved. It is scheduled to open this September. The Rose Gaming Resort will have 1,650 historic racing machines as well as a hotel, food and drink options and a restaurant.
Plans are also in place for the opening of Owensboro Racing & Gaming, in Kentucky, in Q1 2025. This facility will feature 600 historic racing machines as well as a simulcast betting area, retail sportsbook and multiple food and drink offerings.
