Auto Part Company Enters Horse Racing Field

11 November 1999
A new horse is on the track. Canadian auto parts giant Magna International is "exploring the development of media sports wagering operations, including telephone account, interactive television, and Internet-based sports wagering," according to Executive Vice President of Corporate Development Graham Orr.

Magna has filed a preliminary prospectus with US and Canadian regulators for offshoot company MI Entertainment, initially offering Magna shareholders 20 percent of the company, while controlling the rest.

According to the Toronto Star, Magna Chairman Frank Stronach , a horse owner, "wants his new company to move aggressively into online wagering and become a leader in the Internet gambling business."

MI Entertainment's holdings include Santa Anita Park, outside Los Angeles and Gulf Stream Park near Miami. The company wants to increase its roster of racetracks and wants to bundle products from racetracks for simulcasts and off-track wagering. Additionally, it has definitive agreements to buy Thistledown race track, near Cleveland, Remington Park in Oklahoma City and Golden Gate Fields race track near San Francisco, according to Reuters.