Magna Entertainment Corporation, owner and operator of horse racetracks in United States and Austria, is considering selling a majority interest of Santa Anita Park in Arcadia, Calif.
The struggling company, which has $230 million in United States debt to settle within the next 12 months, said in a prepared statement yesterday that selling off particular areas is being “reconsidered.”
According to The Blood-Horse magazine, Frank Stronach, the chairman and interim chief executive of Magna, said, "Look, if we have high debt, we might have to sell 50 percent of Santa Anita, right? Or 60 percent. In the final analysis, we want to get out of the debt. So, that's what we mean.
"We still have a fall-back position to get the company back on a viable basis," Mr. Stronach continued, " . . . but we still will go ahead in selling what isn't strategic to us. What we listed, that still goes ahead."
Magna's second-quarter report showed a loss of $21.3 million. It posted a loss of $46.5 million in the first quarter.