Clairvest Group to acquire MGM Northfield Park

Executive Summary

• Clairvest Group Inc. and Clairvest Equity Partners VII have agreed to acquire the operations of MGM Northfield Park from MGM Resorts International for $546 million (U.S.) in cash.
• The transaction involves approximately $165 million (U.S.) in equity investment from Clairvest and co-investors, with Clairvest's direct exposure estimated at 4-5% of book value.
• Closing is expected in the first half of 2026, subject to regulatory approvals from Ohio gaming/racing authorities and antitrust clearance.

Key Details

• Transaction Value: $546 million (U.S.) in cash, subject to customary purchase price adjustments.
• Equity Investment: Approximately $165 million (U.S.) in equity from CVG, funds managed by CVG, and co-investors.
• Clairvest Exposure: Direct exposure expected to represent between 4% and 5% of book value.
• Target Asset: MGM Northfield Park, a regional racino in Northfield, Ohio, serving the Cleveland and Akron populations.
• Asset Specifications:
  • 74,000 square feet of gaming space.
  • Approximately 1,600 video lottery terminals.
  • Half-mile standard-bred (harness) racetrack.
  • 10 food and beverage outlets.
  • 1,820-seat entertainment venue.
• Strategic Context: This is Clairvest's 17th investment in the gaming sector, leveraging a 25-year record in the industry.
• Closing Conditions: Subject to Ohio gaming and racing regulatory approvals, antitrust clearance, and other customary closing conditions.
• Expected Closing Date: First half of 2026.
• Legal Representation: Chapman and Cutler LLP (corporate matters) and Duane Morris LLP (regulatory matters) represented Clairvest.

Notable Quotes

• "We are excited by the growth potential at Northfield Park and remain committed to offering a premier entertainment experience for the local community. As we look ahead, we intend to build on the strong foundation laid by MGM and guide the continued expansion of the racino in the coming years. We are looking forward to building a collaborative relationship with our new industry partner, VICI," — Michael Wagman, President and Managing Director of Clairvest.