ISC buys Hulman George family out of two tracks UPDATE International Speedway Corporation completed its acquisition of Raceway Associates, LLC, owner and operator of Chicagoland Speedway and Route 66 Raceway. "The close of our acquisition of Chicagoland Speedway and Route 66 Raceway further strengthens our family of premier facilities nationwide," said ISC President Lesa France Kennedy. "In its brief history, Chicagoland Speedway has established a reputation for exciting racing and become a fixture on the NASCAR Nextel Cup Series schedule. In addition, the facility has sold out its events on a season ticket basis since opening in 2001, demonstrating the strong demand for major motorsports in the nation's third largest media market."
11/01/06 DAYTONA BEACH, Fla. - International Speedway Corporation (NASDAQ Global Select Market: ISCA; OTC Bulletin Board: ISCB) ("ISC") today announced it has entered into a purchase agreement with Indianapolis Motor Speedway Corporation to indirectly acquire an additional 37.5 percent interest in Raceway Associates, LLC ("Raceway Associates"), owner and operator of Chicagoland Speedway and Route 66 Raceway in Joliet, Illinois. The purchase price for the transaction is approximately $69 million in cash.
After the transaction closes, ISC will own 100 percent of Motorsports Alliance, LLC ("Motorsports Alliance"), which owns 75 percent of Raceway Associates. Raceway Associates was formed in 1999 as a joint venture between Motorsports Alliance and the former owners of Route 66 Raceway. Raceway Associates subsequently developed Chicagoland Speedway, a 75,000 seat facility hosting premier motorsports events from the NASCAR NEXTEL Cup, NASCAR Busch, IRL IndyCar and ARCA RE/MAX series.
ISC will also exercise its right to purchase the minority partners' remaining 25 percent interest in Raceway Associates pursuant to the 1999 Raceway Associates formation agreement. All the above transactions are expected to close in early 2007.
"Chicagoland is a uniquely attractive asset well-positioned in the nation's third largest media market," said ISC President Lesa France Kennedy. "The region boasts a strong motorsports fan base, demonstrated by six consecutive years of season ticket sell-outs at the facility since opening in 2001. Our active representation on Raceway Associates' management committee and extensive knowledge of the business will help ensure a seamless integration into ISC."
"During the past six years, it has been a great privilege to have worked with both International Speedway Corporation and Indianapolis Motor Speedway, leaders in the motorsports industry," said Matt Alexander, vice president and general manager of Chicagoland Speedway. "As we move forward, we are very excited about working more closely with ISC to continue to grow motorsports in and around the Chicagoland area. We feel that this transaction provides us with a great opportunity to utilize all of the valuable resources ISC has to offer in an effort to exceed our fans expectations on a regular basis."
International Speedway Corporation is a leading promoter of motorsports activities, currently promoting more than 100 racing events annually, as well as numerous other motorsports-related activities. The Company owns and/or operates 11 of the nation's major motorsports entertainment facilities, including Daytona International Speedway in Florida (home of the Daytona 500); Talladega Superspeedway in Alabama; Michigan International Speedway located outside Detroit; Richmond International Raceway in Virginia; California Speedway near Los Angeles; Kansas Speedway in Kansas City, Kansas; Phoenix International Raceway in Arizona; Homestead-Miami Speedway in Florida; Martinsville Speedway in Virginia; Darlington Raceway in South Carolina; and Watkins Glen International in New York.
Other motorsports entertainment facility ownership includes an indirect 37.5 percent interest in Raceway Associates, LLC, which owns and operates Chicagoland Speedway and Route 66 Raceway near Chicago, Illinois. In addition, ISC is a limited partner with Group Motorise International in the organization and promotion of certain events at Circuit Gilles Villeneuve in Montreal, Canada.
The Company also owns and operates MRN Radio, the nation's largest independent sports radio network; DAYTONA USA, the "Ultimate Motorsports Attraction" in Daytona Beach, Florida, the official attraction of NASCAR; and subsidiaries which provide catering services, food and beverage concessions, and produce and market motorsports-related merchandise under the trade name "Americrown." In addition, ISC has an indirect 50 percent interest in a business called Motorsports Authentics, which markets and distributes motorsports-related merchandise licensed by certain competitors in NASCAR racing. For more information, visit the Company's Web site at www.iscmotorsports.com.