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Churchill Downs Abandons Plans to Buy Mississippi Casino

riverboat casino in Mississippi Churchill Downs will now purchase Presque Isle Downs for $178.9 million. Interestingly, the company will also pay $100,000 to assume operational control of Pennsylvania’s Lady Luck Casino Nemacolin. The two companies will now submit the amended agreement to the FTC. Their hope is to close the amended proposal by Q4 2018. The potential for sports betting overhangs the new agreement Churchill’s withdrawal from only part of the deal likely springs from the sports betting potential present in the market. Like many gaming companies, Churchill is scrambling to assemble assets (or more accurately, licenses) in states that have legalized or will legalize sports betting soon. So, the retention of its interest in Presque Isle Downs means that Churchill will gain a foothold in Pennsylvania’s nascent sports betting market. Even though no casino, including Presque Isle, has applied for a sports betting license yet, it is inevitable that sportsbooks will appear in Pennsylvania soon. Now, Mississippi has also legalized sports betting. Its casinos are waiting for the gaming commission to finalize regulations before they can begin accepting wagers. However, that day is coming soon, too.

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