Wayne O set to debut for new Spendthrift-MyRacehorse.com partnership

In recent years, the club model of Thoroughbred ownership has grown in popularity in order to attract new owners to Thoroughbred racing, offering interested parties to buy a small share in a horse with a small single payment, offering ownership experiences with no additional costs – but also few, if any, financial rewards.

The nascent company MyRacehorse.com is offering a new twist to that model, providing a low-cost entry point into Thoroughbred ownership via similar single-payment fractional shares, but as a for-profit model. Spendthrift Farm, which is known for its innovative breeding incentive programs, has partnered with MyRacehorse not only to campaign horses, but to put its own stamp on the program via its “Future Racing Challenge” rewards tied to a colt’s eventual stud career.

Spendthrift has joined with California-based MyRacehorse.com, which treats investment horses as though they are registered securities, to offer “micro shares” in a pair of juveniles competing at this summer's major race meetings. Tizamagician, a 2-year-old son of Tiznow owned in partnership by Spendthrift and MyRacehorse, finished second on debut July 27 at Del Mar. Across the country this Saturday at Saratoga, Spendthrift and MyRacehorse unveil the well-bred and well-regarded Wayne O, who will become the flagship horse for the “Future Racing Challenge” incentive.

Wayne O, by Spendthrift's leading sire Into Mischief, and a half-brother to Grade 1 winner Restless Rider, was a $750,000 purchase by Spendthrift at last year's Fasig-Tipton Saratoga selected yearling sale. The farm has sold 0.01 percent micro shares in the colt for $95 each with no additional payments required from investors during the colt's racing career. Shareholders are not only eligible to receive a portion of any revenue the colt generates on or off the track, but can participate in Spendthrift's stallion value incentive. If Wayne O wins a Grade 1 race in the U.S., a $6 million bonus will immediately be paid to investors, representing an early portion of the horse's future value as a stallion. One 0.01 percent share in the horse would represent a $600 payout for the investor in that case.

"The bonus is designed as a special incentive for shareholders to receive an early portion of the projected residual value in the horse if he were to become a stallion," Spendthrift said in its promotional material for Wayne O. "For example, if the horse won a Grade 1 and at the end of his career was sold to a stallion farm for a valuation of $10 million, the previously paid bonus would be deducted from the final price with the balance paid to shareholders. The bonus would be split between MyRacehorse and Spendthrift Farm."

Micro shares in Wayne O were made available on July 25, and Spendthrift said that $103,000 worth of shares in the colt were purchased in the first 30 minutes. Wayne O will, thus, have a large bandwagon rooting him home Saturday at Saratoga. The colt is the 5-2 morning-line favorite for the third race, a $90,000 maiden special weight. He has recorded 13 published works in preparation for his debut for trainer Steve Asmussen.

MyRacehorse, which was launched in 2018, has several horses in training in partnership with various entities, including Street Band in partnership with Larry and Cindy Jones and Ray Francis. The filly is the winner of this year's Grade 2 Fair Grounds Oaks and Grade 3 Indiana Oaks. MyRacehorse's investment opportunities run the gamut from racehorses in training to current yearlings, and investment types range from micro shares to a 5 percent share in a horse for $16,000.

"Our goal is to enrich the horse racing experience for each investor," MyRacehorse's website states. "In addition to having an equity interest in the horse, we offer regular updates on how your horse is doing, free backside tours, farm tours, and events during morning workouts so you can watch your horse and chat with the trainer. When the horse races, you can gain access to the winner's circle and enter a raffle for paddock access. We also have premium events on race day, including owner-exclusive parties."