Churchill Downs to Purchase Maine Casino
Churchill Downs, the American horse track and casino operator, is purchasing the Oxford Casino in Oxford, Maine for around $160 million cash.
Though Churchill Downs is best known as the operator of the fabled Kentucky Derby, the company also owns a number of land-based casinos and other gambling interests.
The Oxford Casino, located about 40 minutes away from Portland, has only been open since last June and completed a major expansion in October. The casino’s developers said that their intention was never to run a casino, but to bring jobs to the region. In that regard they definitely succeeded. At the time of the sale, the Oxford employed around 400 workers.
In a press released, Churchill Downs said:
The acquisition of Oxford continues our focus on investing capital in gaming-friendly states, in newer properties, in what we believe are competitively defensible markets, and at valuations that we believe will result in significant future free cash flow generation at rates of return attractive to our shareholders
Transaction is expected to be completed some time in Q4 2013. Churchill Downs also recently purchased an Atlanta-based poker publishing company for around $8 million.
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