Churchill Downs is paying $85 million for the intellectual property tied to the Preakness Stakes and the Black-Eyed Susan Stakes, but that does not mean it is taking over the event itself. The company said on April 21 that it had agreed to buy the trademarks and related rights from 1/ST Maryland, with the deal expected to close after this year’s Preakness at Laurel Park on May 16.
The announcement set off immediate questions about whether Churchill was trying to gain control of the second leg of the Triple Crown. Maryland officials quickly pushed back on that idea. The Maryland Stadium Authority said the transaction does not affect the state’s or The Maryland Jockey Club’s full operational control and responsibility for the Preakness and Black-Eyed Susan from 2027 onward. It also said TMJC still controls the race’s media rights and licensing under the 2024 master agreement.
The deal gives Churchill a long-term revenue stream tied to the race
What Churchill is buying is the commercial value of the Preakness and Black-Eyed Susan brands. In its announcement, the company said it will license those intellectual property rights back to the State of Maryland so the races can continue to be run there in exchange for an annual fee.
That gives Churchill something more useful than a one-time publicity win. It gives the company a long-term financial interest in one of the most recognizable events in American horse racing without putting it in charge of staging the race. Churchill chief executive Bill Carstanjen described the purchase as part of the company’s strategy of investing in top-tier racing assets with long-term growth potential. He also said keeping the Preakness intellectual property in the racing industry would support efforts around a redeveloped Pimlico and the wider Triple Crown.
Maryland still holds the bigger operational hand at Pimlico
The bigger structural change around the Preakness had already been set in motion before Churchill entered the picture. Maryland’s 2024 legislation laid out the transfer of Pimlico and broader racing operations to the Maryland Thoroughbred Racetrack Operating Authority, while also requiring a licensing agreement for the Preakness and Black-Eyed Susan intellectual property by July 1, 2026.
So the cleaner way to read this deal is not that Churchill bought the Preakness outright. It bought the brand, the trademarks, and a seat in the race’s long-term economics. Maryland still controls the event itself. Churchill now has a reason to stay close to its future.
