Churchill Downs Incorporated Announces State of Maryland's Decision to Acquire the Preakness IP Rights

Maryland exercised its matching rights to acquire the Preakness Stakes and Black-Eyed Susan Stakes intellectual property for $85 million, blocking Churchill Downs Incorporated's (CDI) previously announced purchase agreement with 1/ST Maryland LLC. The state invoked its legal right to match the deal terms, effectively stepping in as buyer for the two historic horse racing events.

CDI announced the development but signaled continued involvement. CEO Bill Carstanjen stated the company remains committed to working with Maryland leadership on redeveloping Pimlico Race Course and the Preakness Stakes franchise. The $85 million valuation established by CDI's original agreement now sets the price Maryland will pay to 1/ST Maryland LLC.

The IP transfer keeps the Preakness—the second jewel of horse racing's Triple Crown—under state control rather than consolidating it with CDI, which owns Churchill Downs and the Kentucky Derby. Maryland's decision preserves local governance of the 149-year-old race while potentially reshaping the broader competitive landscape in thoroughbred racing.