Competitive market continues at Keeneland September yearling sale

LEXINGTON, Ky. - The Keeneland September yearling sale continued the momentum established at the upper end of the North American yearling market last week, as five yearlings by five different sires sold for seven-figure price tags in a competitive but selective marketplace.

A $1.25 million filly by perennial leading sire Tapit, a $1.1 million Medaglia d'Oro filly, a $1.05 million filly by popular international sire War Front, a $1 million Quality Road filly, and a $1 million colt by newly minted classic sire Into Mischief, the nation's leading stallion, topped Sunday's opening session at Keeneland September. The first two sessions make up the auction's elite Book 1 portion.

"I would say, based on what I've heard and seen today, the market's a little stronger than what I anticipated," Larry Best, who races as OXO Equine, said after purchasing the high-ticket Into Mischief colt. "There's a lot of buyers here paying a lot of money for good horses. So that's a good sign for the industry. I hope it continues."

Keeneland reported 109 horses sold Sunday for gross receipts of $40,680,000. The corresponding 2019 opening session, the first of three Book 1 sessions, had 107 horses sold for $46,231,000.

Although bidding was competitive and buyers were willing to stretch past seven figures on key horses, some market restraint was apparent, a common reaction to uncertainty in the world at large. Last year's opening session finished with two horses sold for more than $2 million, and a greater number of million-dollar horses overall, with seven. Partly as a result of that, the average price dipped downward 14 percent, to $373,211 from $432,065. However, the session-to-session median ticked upward 2 percent, to $330,000 from $325,000.

"To have competitive bidding at all levels of the market was very rewarding," Keeneland director of sales operations Geoffrey Russell said, before adding, "A couple of horses I thought might break loose a little bit more, but we are in a different world."

The day's buyback rate in a selective marketplace finished at 36 percent, compared to 29 percent in the 2019 opener.

The Keeneland September sale is considered the bellwether for the North American yearling market, as it tests that market across a number of levels during a run of about two weeks. This year, the sale's opening day may have gotten a momentum assist from crosstown auction house Fasig Tipton, which held a selected yearling showcase last Wednesday and Thursday. The coronavirus pandemic forced Fasig-Tipton to re-imagine its summer schedule, condensing its usual calendar of three selected yearling sales into a single showcase event. That one-off sale was positioned just a few days before Keeneland's start date, also allowing the competitive auction houses to limit travel for buyers and to coordinate safety protocols as the global health crisis continues.

“The relationship with Fasig-Tipton, yes, it is a competitive relationship, but in times of pandemics, the industry is more important than the companies,” Russell said prior to this sale. “It was very important for us to work with Fasig-Tipton to make sure the industry was served the best we could provide. It was very important for the market that they were able to conduct their sale, and then to make it convenient for our consignors and our buyers.”

As expected, the market was dominated by domestic interests, owing to travel restrictions caused by the coronavirus pandemic. The day's top five buyers by gross were the partnership of SF Racing, Starlight Racing, and Madaket Stables; bloodstock agent Mike Ryan; the partnership of Repole Stables and St Elias Stable; Albaugh Family Stables; and Courtlandt Farm. Almost all are domestic entities. Ryan, shopping for various clients, purchased horses intended to race in both the U.S. and Europe.

However, the sale results showed a handful of Japanese interests and other European interests making purchases. Keeneland, which annually hosts an international marketplace at all levels, endeavored to provide multiple outlets for buyers unable or unwilling to travel, expanding its traditional phone-bidding program and also integrating its online auction platform unveiled earlier this year into the live auction. Russell and Keeneland president-elect Shannon Bishop Arvin, the company’s interim head of sales, indicated that multiple horses were sold to international interests via the online platform.

"The mechanics really worked, the mechanics of the internet bidding," Arvin said. "We spent a lot of time practicing and preparing for that, so it was really great that it worked out as we hoped and expected that it would."

Bernie Sams, the stallion seasons and bloodstock manager for historic Claiborne Farm, signed the ticket on the session-topping $1.25-million Tapit filly on behalf of an undisclosed client of the farm.

"He has bought a couple of mares, bought a nice yearling last year," Sams said. "He is going to try to buy a couple more fillies and build a broodmare band in the next few years. He wanted a Tapit filly ... She is from a young mare from a family that could run. [Tapit] is a good cross.

"The market seems pretty good," Sams added. "There are plenty of people here.”

The filly was consigned by Bluewater Sales as agent for China Horse Club, which purchased the filly's dam, Embellish the Lace, for $2.4 million at the 2016 Fasig-Tipton Kentucky fall selected mixed sale. This is the second foal for the Super Saver mare, who defeated Grade 1 winner I'm a Chatterbox in the Grade 1 Alabama Stakes at Saratoga for her signature victory. The field that day also included Kentucky Oaks winner Lovely Maria and Grade 1 winners Curalina and Include Betty.

Embellish the Lace is a half-sister to Grade 1 Travers Stakes winner Afleet Express and to stakes winner Reporting for Duty. It is the immediate family of Grade 1 winner Materiality and of the versatile Grade 2 winner My Miss Sophia, runner-up in the Kentucky Oaks.

Meg Levy of Bluewater Sales said that she was "hugely relieved" by the filly's reception in the sale ring.

"This year, in particular, I think we're all a little more nervous, because you just don't know what's going to happen," Levy told TVG. "We've all become conditioned to not knowing. We expect surprises - and not always the positive ones. So I definitely feel good, and I'm very happy for her breeders."

Earlier in the day, Mandy Pope, who breeds and races as Whisper Hill Farm, went to $1.1 million for a Medaglia d'Oro filly. The filly, consigned by Denali Stud, as agent, is out of the Group 3-placed Distorted Humor mare Baffled, the dam of multiple Grade 1 winner and young classic sire Constitution.

Baffled, who is from the immediate family of Grade 1 winners Awesome Humor and Emcee, is also the dam of Group 2 winner Boynton and stakes winner Jacaranda.

“She is very athletic with a super, super shoulder like the Medaglia d’Oros have," Whisper Hill general manager Todd Quast said. "We are happy to have her, first as a runner and then for a broodmare.”

A War Front filly who is a full sister to European champion juvenile Air Force Blue brought the hammer down at $1.05 million, with bloodstock agent Mike Ryan signing the ticket for an undisclosed client. The filly, who was consigned by Stone Farm, is also from the extended family of Eclipse Award champions Flanders and Surfside.

Ryan said the filly would likely head to Europe to begin her racing career.

"Being a full sister to champion Air Force Blue, you would have to think she will love the turf," Ryan said. "She looks to me like a filly who will run in the states on the dirt. She’s looks more to me like a dirt horse, but we know she will handle the grass. Hopefully she will do some good in Europe and we bring her back here later in her career.”

Rounding out the seven-figure sales were a $1 million Quality Road filly out of the Grade 3-placed Ghostzapper mare Beloveda, purchased by bloodstock agent Donato Lanni on behalf of Susan and Charles Chu; and a $1 million Into Mischief colt out of the Grade 2-placed Cuvee mare Curlina, purchased by Best. Both were consigned by Gainesway, as agent.

"I didn’t think that was going to happen this morning, so today is a great day," Gainesway general manager Brian Graves said.

The second and final Book 1 session at Keeneland September is set for Monday afternoon. Following a dark day on Tuesday, the sale continues with daily sessions through Sept. 25. For hip-by-hip results, click here.