Churchill Downs is currently evaluating various options, including the potential sale of its Oxford Casino, located on Route 26 in Oxford, Maine, as reported by local media.
The company, based in Kentucky, released a concise statement indicating that it is exploring “strategic alternatives” for its horse racing and wagering operations. However, no further specifics were shared, nor was a timeline for this evaluation provided, according to the Lewiston Sun Journal.
Breck Thomas-Ross, Senior Director of Communications at Churchill Downs, emphasized the company’s commitment to enhancing long-term value for its shareholders.
As part of this strategic assessment, other properties may also be considered for sale. This initiative could enable Churchill Downs to channel more funds into the Churchill Downs Racetrack, the Kentucky Derby, and its TwinSpires wagering platform.
Nevertheless, the company has clarified that there are no assurances that any properties will be sold.
Oxford Casino commenced operations in 2012, following the approval of its development by Maine voters in 2010. Churchill Downs finalized its acquisition of the casino in the summer of 2013, with the property valued at approximately $160 million at that time.
After the acquisition, Churchill Downs announced a $25 million expansion of the casino, which included the addition of a new hotel and restaurants, officially opening in 2017.
Currently, the casino boasts around 955 slot machines, with bets ranging from one cent to five dollars. Additionally, there are 22 table games available. The casino's website highlights four individuals who won at least $20,000 in July.
Last month, Churchill Downs reported record revenue for the second quarter and adjusted EBITDA, driven by a successful Kentucky Derby week and growth in its historical racing machine venues. The company also agreed to acquire full ownership of the wagering technology provider, United Tote.
In the second quarter, net revenue increased by 5% year-over-year, reaching a record $980 million, while adjusted EBITDA saw a 6% rise, hitting an all-time high of $477 million. The net income attributable to the company rose by 11% to $241 million.