TVG, an American sports-oriented digital cable and satellite television network owned by betting giant Betfair, yesterday acquired the HRTV horse racing TV network from the Stronach Group.
HRTV will be rolled into TVG’s network, with Betfair owning 100 per cent of the equity in the combined platform. The deal also sees TVG acquire long-term television rights to the race courses operated by the US-based Stronach Group. Betfair will make an initial payment of $25m (£16.2m) for the network and estimates it will pay a further consideration of $47.8m over a seven-year period, although the total fee is dependent on TVG’s future handle.
Based on projected cash flows, the present market value for these payments is forecast to be $56.3m.
“This deal strengthens TVG’s position as a significant player in the US horse racing industry, bringing together the US’ leading racetracks under a single TV network for the first time,” said Betfair boss Breon Corcoran.