Kentucky Downs Still ‘Doing Our Due Diligence’ Before Sportsbook Deal

Written By Steve Schult on June 22, 2023 - Last Updated on June 28, 2023
Kentucky Downs due diligence sports betting partnership

Last month, the floodgates appeared ready to open on a plethora of Kentucky sportsbook partnerships.

However, those gates never opened. Kentucky Downs, a racetrack in Southern Kentucky eligible for a retail sports betting license, and arguably the most prominent track outside Churchill Downs and Keeneland, said it isn’t close to a deal yet.

Caesars deal looked like the spark the market needed

In mid-May, the Kentucky sports betting industry saw its first official partnership. Caesars Entertainment partnered with Keeneland and Red Mile, the two horse tracks in Lexington.

The deal ensured a Caesars Sportsbook Kentucky platform and a Caesars-themed sportsbook at the Red Mile. It also marked what appeared to be the beginning of a ton of partnership announcements.

Once one major company secures a partnership, the market gradually shrinks. Thus, there is usually a rush from other major players in the space to secure deals while there is still plenty of time to make them.

But that didn’t happen.

Kentucky Downs won’t release partnership details soon

In a statement to PlayKentucky, the racetrack in Franklin said it was still researching the details of its inevitable partnership.

“We are in the process of doing our due diligence before making concrete plans, including awaiting the finalized sports betting regulations for Kentucky,” the statement read. “We are not in position to further comment at this time but look forward to sharing details down the road.”

Expect an announcement in July

Not only is Kentucky Downs still conducting “due diligence” of a partnership. But it’s also awaiting a complete regulatory landscape for the new industry.

The Kentucky Horse Racing Commission, which will oversee Kentucky sports betting, held a meeting Tuesday. At the meeting, the commission said it completed the regulatory framework around sports betting.

KHRC Chairman Jonathan Rabinowitz said the rules would be available for public review in the next few weeks. Additionally, there would be a special meeting in July to approve them.

By the time those rules are finalized, there will only be a few months before the NFL season starts. That’s when Gov. Andy Beshear wants to launch his state’s sports betting market.

At that point, we can expect Kentucky Downs to announce the details of its sports betting partnerships and whatever other venues have yet to disclose one.

Photo by Associated Press
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Steve Schult

The Managing Editor of PlayKentucky, Steve Schult is a veteran of the gambling industry with more than a decade of experience covering the space. After earning his journalism degree from Marist College, the New York native began covering high-stakes poker tournaments and the U.S. gambling industry for various outlets. Following stints as a writer for Card Player Media, Bluff Magazine and the World Series of Poker, Schult joined Catena Media and has managed coverage for a handful of states.

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