Gov. Wes Moore’s administration said Thursday it has matched an $85 million offer to buy the Preakness Stakes’ intellectual property, locking down the race’s name and branding for the state. The move keeps the Preakness, one of Maryland’s oldest and most recognizable sporting traditions, under public ownership while the long-awaited rebuild of Pimlico Race Course rolls on.
The deal surfaced in a letter Moore sent to 1/ST Racing and Churchill Downs, according to The Baltimore Sun. “This decision secures a vital asset for our state,” Moore wrote, as reported by the paper.
How Maryland Closed The Deal
In April, Churchill Downs Incorporated announced it had signed a definitive agreement to acquire the intellectual property for the Preakness Stakes and Black-Eyed Susan Stakes from 1/ST Maryland for $85 million, subject to standard closing conditions, according to Churchill Downs Incorporated. That announcement kicked off a state review of how, and by whom, the historic Preakness brand should be held going forward.
How The State Plans To Pay
Officials intend to finance the purchase with bonds issued by the Maryland Economic Development Corporation and to repay those bonds using racing-related revenues, The Baltimore Sun reports. The one-time buyout replaces a previous setup that would have kept the Preakness branding under an ongoing licensing arrangement.
Why Baltimore And The Triple Crown Care
Keeping the Preakness brand in public hands is a big deal as Maryland pours money into remaking Pimlico and reshapes how thoroughbred racing is run statewide, a backdrop that turned control of the trademarks into a top priority for state leaders, according to reporting from The Baltimore Banner. Who owns the name ripples out to merchandising, media rights, and the long-term economic payoff that comes with Preakness week.
What Happens Next
There are still financing and legal steps to work through before the transfer is officially wrapped up, since the original 1/ST and Churchill Downs agreement included typical closing conditions. Industry watchers say Churchill Downs’ April play for the Preakness was part of a bigger push to scoop up premier race brands and steer future commercial and media deals tied to the Triple Crown, making Maryland’s decision to match the offer a pointed attempt to keep those choices close to home, as examined by Forbes.
