Churchill Downs Strikes $85m Deal For Preakness Intellectual Property Rights

Churchill Downs has reached a woody to get nan intelligence spot authorities to nan Preakness Stakes, nan institution announced Tuesday, successful a move that brings 1 of US thoroughbred racing’s astir celebrated events nether nan aforesaid firm umbrella arsenic nan Kentucky Derby.

Churchill Downs Inc said it will salary $85m to bargain nan trademarks and associated authorities to nan Preakness and nan Black-Eyed Susan Stakes from 1/ST Maryland LLC, an connection of 1/ST Racing.

The statement covers nan intelligence spot tied to nan races, not nan events themselves. Under a abstracted licensing arrangement, Churchill Downs will assistance nan authorities of Maryland nan authorities needed to proceed staging nan races successful speech for an yearly fee.

The transaction follows a 2024 statement successful which Maryland bought Pimlico Race Course from 1/ST Racing but allowed nan institution to clasp nan intelligence spot authorities to nan Preakness and Black-Eyed Susan Stakes. Under that arrangement, 1/ST received yearly payments and a stock of wagering gross tied to nan races.

The Preakness Stakes, first tally successful 1873, is nan 2nd limb of US equine racing’s Triple Crown, held 2 weeks aft nan Kentucky Derby and followed by nan Belmont Stakes. The Black-Eyed Susan Stakes, a awesome title for three-year-old fillies, is traditionally tally nan time earlier nan Preakness astatine Pimlico Race Course successful northwest Baltimore.

This year’s Preakness will not beryllium tally astatine Pimlico, pinch nan 156-year-old way undergoing much-needed redevelopment. Instead, it is scheduled for Laurel Park successful nan Maryland suburbs betwixt Baltimore and Washington nether limited-capacity conditions, pinch attendance capped astatine less than 5,000 spectators.

Churchill Downs said nan transaction is expected to adjacent aft nan 2026 moving of nan Preakness, pending customary conditions. The institution plans to money nan acquisition pinch rate connected manus and its existing in installments facility.

In a statement, Churchill Downs Inc main executive Bill Carstanjen described nan acquisition arsenic a strategical move to grow nan company’s portfolio.

“This acquisition adds 1 of nan astir iconic brands successful American sports to our portfolio and is accordant pinch our strategy of investing successful premier Thoroughbred racing assets pinch semipermanent maturation potential,” Carstanjen said.

He added that keeping ownership of nan Preakness intelligence spot wrong nan racing manufacture would support efforts to maximize nan event’s potential, peculiarly arsenic plans move guardant to redevelop Pimlico.

The woody comes amid wider questions astir nan early of nan Triple Crown schedule. The Preakness has been tally 2 weeks aft nan Kentucky Derby since 1950, but that timing has drawn scrutiny successful caller years arsenic an expanding number of Derby winners person skipped nan title because of nan short turnaround, including Rich Strike (2022) and Sovereignty (2025).

Industry discussions person included nan anticipation of moving nan Preakness to 3 weeks aft nan Derby arsenic early arsenic 2027, a displacement aimed astatine encouraging greater information from apical horses. Sources told Sports Business Journal that nan title could displacement 1 week later connected nan almanac opening successful 2027, creating a three-week spread betwixt nan Derby and Preakness while almost surely prompting further adjustments to nan timing of nan Belmont Stakes.

The race’s media authorities are besides successful flux. NBC’s statement to broadcast nan Preakness expires aft this year’s running, while early authorities negotiations are expected to beryllium tied to immoderate imaginable changes successful nan race’s spot connected nan calendar. According to nan SBJ report, aggregate bidders including NBC, Fox, Amazon and Netflix person expressed liking successful nan adjacent authorities deal, underscoring nan event’s worth contempt broader challenges facing nan sport.

The Triple Crown has been called nan astir difficult feat successful US sports: winning America’s 3 astir prestigious races held astatine 3 varying distances successful 3 different states complete a five-week span. Only 13 horses person swept nan Derby, Preakness and Belmont: Sir Barton (1919), Gallant Fox (1930), Omaha (1935), War Admiral (1937), Whirlaway (1941), Count Fleet (1943), Assault (1946), Citation (1948), Secretariat (1973), Seattle Slew (1977), Affirmed (1978), American Pharoah (2015) and Justify (2018).