Speedway Motorsports has reached an agreement to purchase Dover Motorsports, Inc.
On Monday night, both organizations jointly announced a deal that sees Speedway Motorsports acquire the company that operates Dover International Speedway and Nashville Superspeedway for $3.61 per share in cash for an approximate total equity value of $131.5 million. Dover hosts the NASCAR Xfinity Series and Cup Series while all three national series compete at Nashville Superspeedway. Nashville returned to the schedule this past season.
Under terms of the merger agreement, Speedway Motorsports, through a subsidiary, will initiate a tender offer to acquire all outstanding shares of Dover Motorsports. Speedway Motorsports stated that the offer price represents a 58.3 percent premium to the closing stock price from Monday. The holders of 57.5 percent of the total aggregate shares of Dover Motorsports, representing 92 percent of the voting power, have agreed to tender their shares subject to the terms of the agreement.
“We’ve been committed to working for the fans and growing the sport of NASCAR for more than 60 years,” said Marcus Smith, Speedway Motorsports President and CEO. “This is a tremendous opportunity for us to continue growing our investment in motorsports.
“I’d like to thank Denis McGlynn and the Dover Motorsports board for their cooperation and support in our goal to exceed customer expectations and create amazing lifetime experiences for all NASCAR fans.”
Dover and Nashville give Speedway Motorsports ten tracks across the United States. Their other properties are Atlanta, Bristol, Charlotte, Kentucky, Las Vegas, New Hampshire, Sonoma, and Texas.
“While this marks the end of our 52 years as an independent operator in NASCAR,” said Dover Motorsports president and CEO Dennis McGlynn, “our future advancement is best secured by joining forces with a major player in the sport, and we are happy to be able to become part of the Speedway Motorsports family and to be able to work with Marcus Smith as NASCAR embraces its future.”