10/05/2011 11:06AM

Hoosier Park parent emerges from bankruptcy

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The parent company of Hoosier Park has emerged from Chapter 11 bankruptcy holding about a third of its pre-bankruptcy debt.

The company, which was called Centaur Inc., has been re-formed under the name Centaur Holdings Inc. Several weeks ago, the Indiana Horse Racing Commission approved the transfer of the racing license for Hoosier Park to the new company, effective Oct. 1.

Centaur filed for bankruptcy in March 2010, with a debt load of $900 million. A portion of that debt was incurred after Centaur borrowed money to obtain a $250 million casino license from the state and built a casino at Hoosier.

Under the company’s reorganization, Centaur sold properties in Colorado and Pennsylvania. Its 80 original shareholders were wiped out, and its debt has been reduced to $273 million, mostly held by Clairvest, a Canadian investment company, and Goldman Sachs.

Hoosier Park remained open during the reorganization. The track is currently conducting a Thoroughbred live meet through Oct. 23, with purses heavily subsidized from slot-machine revenues. Hoosier also conducts a four-month Standardbred meet.