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: 'Map spam' puts Google in awkward place

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

'Map spam' puts Google in awkward place

11 hours ago

Google was re-evaluating its user-edited online map system Friday after the latest embarrassing incident—an image of an Android mascot urinating on an Apple logo.

Google search mobile switch a revolution for some

Apr 24, 2015

Google's latest Internet revolution this week saw the web giant modify its search algorithm to favour mobile-friendly sites, in a bid to upstage Apple that US media branded a "mobilegeddon".

Cheap content, growing reach make Snapchat a fast-rising star

Apr 22, 2015

Thousands of revelers descended on the Coachella music festival this month to rock out to their favorite bands and party day and night. But a far bigger audience from around the world - at least 40 million - joined in remotely ...

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.