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Churchill Downs Incorporated has reached an agreement to acquire the intellectual property rights for the Preakness Stakes and Black-Eyed Susan Stakes for $85 million from 1/ST Racing’s Maryland division, the company announced on Tuesday. The deal represents a significant shift in ownership for one of horse racing’s most prestigious events.
Under the terms of the agreement, Churchill Downs, the iconic home of the Kentucky Derby, will license the rights annually to the state of Maryland to continue hosting the races. The transaction is expected to be finalized after next year’s running of the Preakness Stakes, scheduled for May 16 at Laurel Park while Pimlico Race Course undergoes extensive renovations.
“This acquisition adds one of the most iconic brands in American sports to our portfolio and is consistent with our strategy of investing in premier thoroughbred racing assets with long-term growth potential,” said Bill Carstanjen, CEO of Churchill Downs Incorporated. “In keeping ownership of the Preakness intellectual property in the racing industry, CDI will support efforts to fully realize the potential of a redeveloped Pimlico and Preakness Stakes within the Triple Crown and the broader sports and entertainment landscape.”
The acquisition comes during a period of significant change for the Preakness Stakes, which serves as the second jewel in horse racing’s Triple Crown. The 2025 race will temporarily relocate to Laurel Park while Pimlico Race Course in Baltimore undergoes a major reconstruction project aimed at modernizing the historic venue, which first hosted the Preakness in 1873.
Industry experts view Churchill Downs’ acquisition as a strategic move to strengthen its position in elite thoroughbred racing. The company already controls the Kentucky Derby, the first leg of the Triple Crown, and this deal gives it significant influence over two-thirds of racing’s most prestigious series.
The announcement follows recent reports that organizers are considering shifting the Preakness Stakes to a later date in May. Currently, the race takes place two weeks after the Kentucky Derby, with the Belmont Stakes following three weeks after that. A spokesperson for the Maryland Jockey Club confirmed they are in negotiations regarding a new media rights agreement, which could impact the timing of Triple Crown events, but noted that formal discussions with Churchill Downs or the New York Racing Association about date changes have not yet occurred.
The spacing between Triple Crown races has been a contentious topic within the horse racing industry for years. In recent seasons, several owners and trainers of Kentucky Derby winners have opted to skip the Preakness Stakes, citing concerns about the quick two-week turnaround between races. This pattern has frustrated traditionalists and diminished some of the Triple Crown’s historical prestige.
The Preakness Stakes, often called “The Run for the Black-Eyed Susans,” has been a cornerstone of American horse racing since its inception in 1873. The race traditionally attracts over 130,000 spectators to Pimlico and generates significant economic activity for the Baltimore region.
Financial analysts suggest the $85 million price tag primarily reflects the brand value and media rights associated with the Preakness, as Churchill Downs will not acquire the physical racetracks themselves. The Maryland Stadium Authority maintains oversight of the Pimlico redevelopment project, which aims to transform the aging facility into a modern year-round events destination while preserving its historic racing tradition.
The acquisition represents the latest development in the evolving landscape of American thoroughbred racing, an industry that has faced challenges including declining attendance at many tracks, increased scrutiny over animal welfare issues, and competition from expanding gambling alternatives. Churchill Downs’ investment signals confidence in the enduring appeal of premier racing events amid these industry headwinds.
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5 Comments
A smart move by Churchill Downs to shore up the future of the Preakness Stakes. As one of the most prestigious horse races, it’s important to maintain its legacy and presence in the sport. Curious to see how the renovations of Pimlico impact the fan experience.
$85 million is a hefty price tag, but the Preakness is such an iconic event. Curious to see if Churchill Downs can further build the brand and viewership over time. Horse racing needs to attract new fans, so this could be a good long-term investment.
Agreed, the Preakness has huge potential if marketed and modernized properly. This deal gives Churchill Downs more control to revitalize one of the Triple Crown jewels.
Interesting move by Churchill Downs to acquire the Preakness IP. This will help ensure the stability and long-term future of one of horse racing’s crown jewels. I wonder how the redevelopment of Pimlico Race Course will impact the Preakness experience going forward.
Yeah, it’s smart for them to own the rights and partner with Maryland. Keeps the Preakness tradition alive while allowing for modernization of the facilities.