The firm, made up of a consortium which includes UK digital TV broadcaster BSkyB, terrestrial free-to-air Channel 4 and track operator Arena Leisure, will terminate its 10-year deal at the end of March.
The deal, signed with the Racecourse Association in 2001, was worth £307m and was designed to capitalise on live racing rights and their marketing around the world.
But failure to hit betting targets has allowed a clause in the contract to be triggered.
Just 12 months ago, Ian Hogg, chief executive of attheraces, said the business was on course to reach profit by ‘late 2004 or early 2005’.
Negotiations to try and revive the deal reached a stalemate, and the company will now look to renegotiate TV rights deals on a course-by-course basis.
