HORSEPLOP.COM
General Category => Harness Racing => Topic started by: Inside The Track on November 13, 2024, 02:30:26 PM
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Luther is selling racing and breeding shares in Amazing Catch. For 30,000 dollars you get 1/120 share in horse for racing in 2025 and one breeding per year when he goes to stud in 2026. What's the catch?
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He's syndicating the horse (for breeding), for the most part. However, he's taking what he feels is a unique approach in that he's offering financial participation in his racing career.
He has a website:
https://www.amazingcatchinfo.com/about-amazing-catch
If anyone is considering this, my recommendation is---get a copy of the syndicate agreement, and any other agreement you have to sign.
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Would place his racing and breeding value at 3.6million? Big gamble for an unknown producer.
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sold out!
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Wow! How many shares does Luther himself own I wonder?
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just curious did this guy win the lotto? or inherit a big sum of money? i remember he use to only have a few horses. no they buy all high priced horses and yearlings. he idnt do very good back then. (like he never won) and with the cash they spend now they probably should do better. just my opinion.
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Is the 120 the total shares or is that the number he is selling. If it is the total shares then he needs to sell approx half to get all of his upfront money back (I would sell 49% if I were him). It values the horse at $3.6mm and would essentially own the majority of the horse for free. Seems like a good deal for him.
If the horse wins $1mm next year each share gets back $8,300 minus expenses. Right now the highest stud fee for a trotter in Ohio is $7,500. I’m guessing this gets set at $10k so under best case it takes 2+ years to breakeven. Not sure Ohio was the best choice if he was looking for a home run. Doing so much work on the half and 5/8ths has limited the number of grand circuit trotters there.
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sold out!
BS. Salesmanship and posturing. If he's sold out, it's because he decided to only sell 5 shares, and he sold them to 5 friends.
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"I’m guessing this gets set at $10k so under best case it takes 2+ years to breakeven. "
That sounds like a pretty good deal.
If after 3 years you are even, what will the next 10 years of stud service return in profit??
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The starting valuation is double of what he just paid
Good gig for him
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Kudos to Luther for thinking outside the box.
I don't know where his money came from but looks like he's enjoying it
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TCI coming to Ohio standing for 10k and book will be full and closed the day it’s announced. Luther paid for a stud that might be shooting blanks. All serious stud syndications these days are based on fertility first. No one is buying into Amazing Catch as a stud until he passes the fertility test and that won’t happen for another 15 months other than the moron Luther.
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Luther is a real estate guru. He even teaches groups and has a big fanbase in that profession.
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He may be a real estate guru, but hasn't done well recently with his purchases like Why Not Now for over $500,000 at the end of last year. He's won virtually nothing this year.
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"I’m guessing this gets set at $10k so under best case it takes 2+ years to breakeven. "
That sounds like a pretty good deal.
If after 3 years you are even, what will the next 10 years of stud service return in profit??
My math assumes he makes $1mm racing next year which is pretty aspirational considering the only age horse to that this year is Jiggy Jog. He essentially has to be Winners Bet.
Profit is 10 years of free breeding - which is he is elite is great. If he isn’t then not so much.
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Call Sign Merlin .... Understood, but buying a $30k share sounds like a better investment than buying a $30k yearling.
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Ake's horses don't run enough to win $1 million dollars a year, and assuming he'll be a top trotter is another assumption.
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All I know is he must have unlimited funds cause he sure pisses away a shit ton of cash. But good for him if he can.
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Ake's horses don't run enough to win $1 million dollars a year, and assuming he'll be a top trotter is another assumption.
While I agree with you that it's a pretty big leap to assume this horse is going to come forward (or even be fertile..is it possible they had tests on him prior to HBG sale?) but to be fair, Jiggy Jog earned over $1M last year (at 4) and was just short this year and would certainly have been over. He picks his spots appropriately.
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just curious did this guy win the lotto? or inherit a big sum of money? i remember he use to only have a few horses. no they buy all high priced horses and yearlings. he idnt do very good back then. (like he never won) and with the cash they spend now they probably should do better. just my opinion.
He is a Real Estate coach and one of the best in USA, type his name on google and you will see it all
He told Heather Vitale he owns 160 horses.
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They wait 60/90 days after last race to test for fertility. He wasn’t tested before Harrisburg. When AH gets outbid on a horse you definitely know Luther paid too much. For him to make 1mil next year he would have to be the best in the country by far and he’s not even the best in Ake’s stable.
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Saying he has a good chance of making a million dollars next year isn't a good thing to say. Horse racing is a high risk business.
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I think he realizes he overpaid and is trying to recover some of his money. Or in Greg Luther's world trying to do a "Quick Flip".
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Real estate guys want to put as little into a deal as they possibly can while retaining as much ownership as they possibly can. He has essentially structured this as a cash out refinance. He acquired the property, made it look better, got it reappraised as a higher value and then recouped his initial investment. If he sells 60 shares he owns half the horse with no money in.
I think this is a pretty interesting, unique, and smart business structure that is only really made possible by keeping him racing.
I do think they picked the wrong jurisdiction which will limit his upside as a stallion. There are too many stud options in Ohio and it is overbred with good but common mares.
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Any trainer to take a horse off Ake is a big risk.
Beware if he doesn’t pan out to be the dominant older trotter he’s selling.
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Any trainer to take a horse off Ake is a big risk.
Beware if he doesn’t pan out to be the dominant older trotter he’s selling.
Horse is staying in Ake’s barn. tmbz1
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i like the horse overall , racing and pedigree
however not a fan overall of ohio
i believe tci is going there??
for the cost of a $10k breeding i would just keep my money in my pocket and if decide to bred in 2026 than fine
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Hope it works out for Greg .Good luck.