On Thursday, June 16, Penn National Gaming, Inc. announced that it has entered into a definitive agreement to sell its joint venture interest in the Maryland Jockey Club
to Stron-MJC Limited Partnership.
As announced by MI Developments Inc., Penn National’s joint venture partner, an affiliate of MI Developments Inc. will also transfer its interest in the Maryland Jockey Club to an affiliate of Stron-MJC Limited Partnership as part of a transaction approved by the shareholders of MI Developments Inc. that is scheduled to close on June 30, 2011.
Penn National Gaming and MI Developments established the joint venture to own and operate the Maryland Jockey Club’s racing assets, training facilities and real estate in mid 2010.
Peter M. Carlino, chief executive officer of Penn National commented, “While we are divesting our interest in the Maryland Jockey Club, Penn National Gaming remains committed to racing and gaming in Maryland. With our acquisition earlier this year of Rosecroft Raceway in Oxon Hill and our successful opening last fall of the state’s first VLT facility, we will focus our resources on further strengthening the racing and operations at Rosecroft and building on the initial success of Hollywood Casino Perryville. We believe that the Maryland Jockey Club, Pimlico and Laurel Park will be well served under the single ownership of The Stronach Group and we wish them success with these historic racing venues.”
The transaction is expected to be completed in the next few months and is subject to approvals from the Maryland Racing Commission and the satisfaction of certain other customary closing conditions.