US racetrack and casino owner Churchill Downs has struck a binding agreement with Saratoga Harness Racing to manage the company's gambling facilities in New York and Colorado.

As part of the five-year management contract for the Saratoga Springs harness track and video gambling operation and the Saratoga Casino Black Hawk in Black Hawk, Colorado, Churchill Downs would acquire a 25% stake in Saratoga Harness.

The deal would require regulatory approval in New York and Colorado.

The two companies had already linked up to bid for one of four casino licences that are set to be issued in New York later this year, with the proposed facility to be built in East Greenbush near Albany.

"We are excited to expand our operations into New York and Colorado and hope to become more involved in the Capitol Region if we are fortunate enough to be awarded a licence to build and operate Capital View Casino & Resort," Bill Carstanjen, president and chief executive officer of Churchill Downs, said.

Saratoga Harness Racing secretary and chief legal officer James Featherstonhaugh added: "We look forward to a long and successful partnership between two iconic names in the racing and gaming world."

This is a reprint from igamingbusiness.com. to view the original, click here.