Century Casinos sells Alberta racinos to Highfield Investment Group
The $16.4 million deal will see Highfield take over the racing and gaming operations of the Edmonton and Calgary properties.
CALGARY — Century Casinos Inc. is selling the racing and gaming operations of its Century Mile Racetrack and Casino in Edmonton and Century Downs Racetrack and Casino near Calgary to Highfield Investment Group for $16.4 million.
The transaction is expected to close in the fourth quarter of 2026 or the first quarter of 2027, subject to customary regulatory approvals and closing conditions.
Century Casinos owns 100 per cent of Century Mile and a 75 per cent interest in Century Downs; noncontrolling partners own the remaining 25 per cent of Century Downs.
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“As part of our ongoing strategic review process, the sale of Century Mile and Century Downs racinos is an important step towards concentrating our resources on our U.S. properties, where we see the strongest opportunities for growth,” Erwin Haitzmann and Peter Hoetzinger, Co-Chief Executive Officers of Century Casinos, remarked.
They concluded, “This transaction improves our financial flexibility and operational efficiency as we focus on our core US. assets.”
The real estate underlying Century Mile and Century Downs is owned by subsidiaries of VICI Properties and is leased to the operating companies under a triple-net master lease agreement.
In connection with the closing, subsidiaries of the company and VICI will amend the Master Lease to remove the Century Mile and Century Downs properties, and Highfield will become the new tenant of these properties and be responsible for the associated rent obligations going forward.
With the removal of these two properties from Century’s Master Lease, the company’s annual rent will be reduced by approximately $7.5 million.
The company intends to use the proceeds from the transaction to reduce its indebtedness and expects the deal to reduce its lease-adjusted net leverage on a pro forma basis.
Highfield Investment Group is a diversified Alberta-based investment and development company with nearly 50 years of experience across multiple industries, including real estate, hotel and hospitality, and more than 20 years of experience in Thoroughbred breeding, ownership, and racing operations in Western Canada.
“We see strong long-term potential in these operations and believe they are an excellent strategic fit with our experience in hospitality, operations and horse racing,” said Adrian Munro, president of Highfield Investment Group.
“We are making a significant investment in Alberta because we believe in the continued growth of this business and in the long-term value it can create.”
Munro added, “We are thankful to Century Casinos for its significant investment in Alberta's horse racing business and for the platform it has established.”
He leads Highfield’s strategic direction and diversified operations and serves as president of the Canadian Thoroughbred Horse Society.
He is joined by Paul Ryneveld, vice president of racing entertainment centers, a veteran racing and gaming executive with 38 years of experience.
Highfield Stock Farm, part of Highfield Investment Group, is a 1,000-acre farm near Okotoks, Alberta, founded by David Munro in 2004.
The farm stands Tapiture, who as of Sept. 28 is Canada's leading sire with nearly $4.8 million in progeny earnings.
The transaction does not include Century Casinos' other Alberta casino properties, Century Casino & Hotel in Edmonton and the Century Casino in St. Albert.
“We look forward to adding Highfield to our tenant roster upon closing this transaction and believe their business plan and regional focus will help deliver strong results at Century Mile and Century Downs,” VICI president John Payne said.
Century Casinos reported a net loss attributable to shareholders of $10.9 million for the second quarter of this year.
The company operates properties in the United States, including the Rocky Gap resort in Maryland, casino-hotels in Cripple Creek and Central City, Colorado, and Reno’s Nugget Casino Resort.