International Speedway Corp. announced Wednesday morning that it has entered into an agreement and plan of merger with NASCAR. The deal is valued at approximately $2 billion.
Shareholders will receive $45 for each share.
This deal is expected to close this calendar year.
International Speedway Corp. owns 12 tracks that host NASCAR races, including Daytona International Speedway, Darlington Raceway and Homestead-Miami Speedway.
NASCAR issued a statement Wednesday: “We are pleased with the progress that the negotiation and execution of the merger agreement between NASCAR and ISC represents. While important regulatory and shareholder approval processes remain, we look forward to the successful final resolution of this matter and continuing our work to grow this sport and deliver great racing experiences for our fans everywhere. With a strong vision for the future, the France family’s commitment to NASCAR and the larger motorsports industry has never been greater.”
NASCAR Chairman Jim France told competitors in the drivers meeting before the Daytona 500 that “this sport was built by families and we’re just a part of it. It’s so important that we remember that this is still a family business. Our family is committed to it.”
The agreement announced Wednesday allows NASCAR to control those tracks, along with Iowa Speedway, which it already owns. That could make it easier for NASCAR to move dates to take a date from one track to another. NASCAR President Steve Phelps has stated that the schedule is among the areas the sanctioning body is looking at making changes. NASCAR’s five-year sanctioning agreement with tracks ends after next season.
With NASCAR private, it won’t have to publicly report attendance revenue and other financials as ISC had to do as a publicly traded company.
ISC also announced that a class-action lawsuit that had been filed against it after NASCAR and ISC announced last November plans to merge will be dropped.
Speedway Motorsports Inc., which owns eight tracks that host NASCAR races, including Charlotte Motor Speedway, Las Vegas Motor Speedway and Texas Motor Speedway, announced April 24 that it had received a non-binding proposal from Sonic Financial Corp. to acquire all outstanding shares of common stock other than those already held by Sonic. Bruton Smith and his family own and control Sonic Financial Corp. Smith is the founder and majority stakeholder in Speedway Motorsports Inc.
The only tracks not owned by ISC or SMI that host Cup races are Pocono Raceway, Dover International Speedway and Indianapolis Motor Speedway.