Churchill Downs buying YouBet.com

Nov 12, 2009
A view of Churchhill Downs following the 135th running of the Kentucky Derby, seen in May, in Louisville, Kentucky. Churchill Downs Inc., owner of the horse racing track which hosts the famed Kentucky Derby, announced it has agreed to acquire online betting website YouBet.com.

Churchill Downs Inc., owner of the horse racing track which hosts the famed Kentucky Derby, announced it has agreed to acquire online betting website YouBet.com.

The Louisville, Kentucky-based Churchill Downs said it was acquiring all of the outstanding shares of YouBet in a transaction valued at nearly 127 million dollars.

It said that YouBet shareholders would receive 0.0598 shares of Churchill Downs common stock plus 97 cents in cash for each share of YouBet they own.

YouBet shareholders would own some 16 percent of Churchill Downs at the close of the transaction.

YouBet is a provider of off-track betting services to a number of race tracks inside and outside the United States including Aqueduct, Belmont, Keeneland and Saratoga in addition to Churchill Downs.

It reported 70.8 million dollars in revenue through the first nine months of 2009.

The Churchill Downs statement said less than 14 percent of wagering on US thoroughbred racing is placed online.

"We believe, however, that this percentage will continue to grow, consistent with recent trends toward online transactions in other consumer industries," Churchill Downs said.

Churchill Downs said the deal has been approved by the boards of both companies but is subject to regulatory approval and the approval of YouBet shareholders.

It said it expects the transaction to close in the first or second quarter of 2010.

(c) 2009 AFP

Explore further: Twitter blocks two accounts on its Turkish network

add to favorites email to friend print save as pdf

Related Stories

Identifying gems and minerals on Earth and on Mars

Mar 10, 2006

It'll be a snap to identify gemstones once Robert Downs finishes his library of spectral fingerprints for all the Earth's minerals. Downs is almost halfway there. So far, the associate professor of geosciences ...

Cisco to acquire Scientific Atlanta

Nov 18, 2005

Cisco Systems is acquiring video-equipment supplier Scientific Atlanta in a stock transaction worth just under $7 billion. The companies said Friday the deal creates an "end-to-end triple play solution" for carrier networks.

Recommended for you

LinkedIn membership hits 300 million

Apr 18, 2014

The career-focused social network LinkedIn announced Friday it has 300 million members, with more than half the total outside the United States.

Researchers uncover likely creator of Bitcoin

Apr 18, 2014

The primary author of the celebrated Bitcoin paper, and therefore probable creator of Bitcoin, is most likely Nick Szabo, a blogger and former George Washington University law professor, according to students ...

White House updating online privacy policy

Apr 18, 2014

A new Obama administration privacy policy out Friday explains how the government will gather the user data of online visitors to WhiteHouse.gov, mobile apps and social media sites. It also clarifies that ...

User comments : 0

More news stories

Students take clot-buster for a spin

(Phys.org) —In the hands of some Rice University senior engineering students, a fishing rod is more than what it seems. For them, it's a way to help destroy blood clots that threaten lives.

Finnish inventor rethinks design of the axe

(Phys.org) —Finnish inventor Heikki Kärnä is the man behind the Vipukirves Leveraxe, which is a precision tool for splitting firewood. He designed the tool to make the job easier and more efficient, with ...

First steps towards "Experimental Literature 2.0"

As part of a student's thesis, the Laboratory of Digital Humanities at EPFL has developed an application that aims at rearranging literary works by changing their chapter order. "The human simulation" a saga ...