Benzinga - The 2023 Kentucky Derby saw Mage upset the field and win the 149th running of the prestigious horse race. Let's take a look at the betting odds and how much Mage paid out for bettors, as well as the unique ownership structure of Mage that now has shareholders cashing in.
What Happened: The 2023 Kentucky Derby had several horses scratched ahead of the race, including the favorite Forte. With 19 horses in the field and wide-open betting, Mage won the race at 15-to-1 odds.
Mage was seen with odds of 18-to-1 the day before the Kentucky Derby with Forte still listed as the favorite.
The Kentucky Derby winning horse only raced three times prior to the prestigious horse racing event, winning an event in January, finishing fourth in a March race and finished second to Forte in the Florida Derby in April.
Bettors who backed Mage saw big payouts. Mage paid $32.42 for a win, $14.58 for place and $9.08 for show for bettors who placed $2 bets on a first, second, or third place finish, respectively.
This means that a bettor who put down $100 on Mage to win the Kentucky Derby would have won $1,621.
Mage could next compete in the Preakness Stakes, the second event of the Triple Crown. The race will air on NBC, a unit of Comcast Corporation (NASDAQ: CMCSA), on May 20. NBC, NBC Sports and Peacock were all homes for the Kentucky Derby Saturday.
Owned by Churchill Downs, Inc. (NASDAQ: CHDN), the iconic namesake racetrack of the Kentucky Derby held 14 races on Saturday. The Kentucky Derby is one of the most bet-on horse races of the year and could provide a huge payday for Churchill Downs and its horse betting unit, TwinSpires.
The company reported Kentucky Derby day wagering set a new record at $288.7 million, ahead of the $273.8 million from last year. Kentucky Derby race wagering totaled $188.7 million, also beating a record of $179 million set in 2022. The Derby Week wagering hit a new record of $412 million, breaking a record of $391.8 million set in 2022.
TwinSpires saw a record betting handle of $73.6 million on Saturday, beating last year’s record of $67.4 million. Kentucky Derby wagering totaled $47 million for TwinSpires.
Related Link: Churchill Downs Q1 Earnings Highlights: Revenue And EPS Beat, Record Adjusted EBITDA, Stock Split And More
Unique Ownership of Mage: One of the unique factors of the 2023 Kentucky Derby winner Mage is the horse being partially owned by shareholders through Commonwealth.
Commonwealth allows investors to buy shares of horses for as little as $50, with no ongoing fees.
According to sports reporter Darren Rovell, 25% of Mage was sold on Aug. 8, 2022, with the horse valued at $288,000.
Shares were offered for $50 each with Commonwealth users able to buy one share or more. Those who bought 50 shares or more got access to the Kentucky Derby that included morning workout and paddock privileges, meet the horse and jockey and be featured in the winner’s circle after the race was over.
Rovell tweeted that owners of shares of Mage through Commonwealth will get a pre-tax payment of $94.52 per share after the Kentucky Derby win.
Mage won $1.86 million for taking home victory in the 2023 Kentucky Derby.
“We won the Kentucky Derby! Words don’t do it Justice. What a day, what a ride, what a horse,” Commonwealth tweeted.
Commonwealth co-founder and head of racing Chase Chamberlin celebrated the victory on Twitter.
“Overwhelmed with gratitude for this incredible horse, our team and for 382 shareholders from every walk of life for Commonwealth. 4 years go this was all just a dream. Today, the dream is still very much alive!” Chamberlin tweeted.
The Commonwealth website crashed shortly after the Kentucky Derby as the commentators openly discussed the ability to own shares for $50 likely sent a surge of traffic to find out more.
“Back an athlete. Get in the game,” the website reads. “When they win, you win. Experience the journey. Join a community.”
Investors receive a share of the earnings of the athletes distributed directly through the CMNWLTH wallet according to the website.
The website lists the horse Kissed By Fire as a new offering available for investors.
“One of the fastest of her class at Fasig Tiptop Midatlantic and a convincing second in her debut race. Ready for action!”
Kissed By Fire has had two starts, finishing in second and sixth with $16,500 in earnings.
The site also highlights past offerings of horses including Country Grammer, the highest earnings racehorse in the world in 2022 at $11.2 million.
The Commonwealth website also lists two golfers, who could be available to buy shares in soon.
Joey Vrzich and Cooper Dossey are listed on the website with spring 2023 listed as the coming soon estimate. Vrzich has one PGA Tour start with a missed cut and has taken part in the PGA Tour Canada circuit. Dossey has one made cut in his one PGA Tour start and also has history on the PGA Tour Canada circuit.
For more on the sports betting landscape and what could be next for popular betting segments and legislation, tune in to the Benzinga Sports Betting Titans virtual event on May 24.
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