Magna Closes on Bay Meadows Purchase

Magna Entertainment Corporation has completed its purchase of the company that operates Bay Meadows racetrack in northern California for $24.1 million in cash. In a press release, Magna said it will continue to conduct live racing at the San Mateo facility until Dec. 31, 2002, allowing the property owner time to complete a master plan and obtain the entitlements for development of the existing track property.

Acquisition of Bay Meadows gives Magna control over major racing northern California racing, as the company already owns Golden Gate Fields.

"We believe that our ownership of both Bay Meadows and Golden Gate Fields – the two premier racing venues in northern California – is in the best interest of not only MEC, but of the state's horse industry and horse racing fans as well," said Magna Entertainment president and chief executive officer Mark Feldman. "The addition of Bay Meadows addresses our objective of creating a twelve- month racing calendar by adding outstanding fall racing to complement our existing premier winter meets at Santa Anita and Gulfstream Park. The twelve month schedule will also help to decrease the seasonality of our earnings."