The Des Amis Group ("Des Amis") is comprised of various inter-related business ventures relating to the breeding, development and management of thoroughbred assets. (To request a copy of the Organizational Chart of Des Amis and the Executive Summary of the Business Plan of Des Amis, click here).
We are currently breeding thoroughbred assets in the U.S. that will race in both the U.S. and in the UK. In 2008, through our newly-formed company, Des Amis Racing UK Limited ("UK Company"), we intend to breed and race thoroughbred assets in the UK that will race in the UK and (possibly) in the US.
Our U.S. thoroughbred assets are owned by Des Amis Ventures, LLC ("US Holding Company") through (2) two operating subsidiaries, Des Amis Breeding Corporation ("DABC") and Des Amis Racing Corporation ("DARC"). The US Holding Company owns a majority shareholding (about 75% of the shares) in both DABC and DARC. DABC owns the broodmare assets of Des Amis and its modus operandi is to breed and to develop racehorses for DABC (and, in the near future, for the UK Company). DARC owns the racehorse assets of Des Amis and its modus operandi is to train racehorses that can win classic-distance races internationally, but especially in the U.S. and in the UK.
Equine Applied Sciences Inc. ("EASI") is a wholly-owned operating subsidiary of the US Holding Company and is the research and development arm of Des Amis. EASI will be committed to continuing research and development in the fields of genetics and exercise physiology. Among its objectives, EASI will revolutionize the thoroughbred industry’s subjective methods for valuation of assets in a period of five years. EASI will also be used as a special purpose vehicle in order to raise money (using project finance methods) in order to build a state-of-the-art training center in a location ideally suited to developing thoroughbreds fit to win classic-distance (endurance) races.
The US Holding Company owns the know-how for breeding and training racehorses and licenses said know-how to DARC and DABC (and, in the near future, will license the same to the UK Company).
For the time being, the UK Company will be the financing arm of Des Amis. The UK Company also currently owns a minority shareholding (about 20% of the shares) in DABC and DARC.
BUSINESS PURPOSE
Our ultimate goal is to produce an international racehorse-product that is aerobically and anaerobically fit, and has the versatility, to win consecutive classic-distance races on a few days of rest. We will use a corporate finance model (as described herein) to raise capital in order to accomplish our goal of building a top-notch multi-national breeding and racing operation in the thoroughbred industry.
Des Amis is committed to using scientific know-how in order to exploit virgin niche-markets in the thoroughbred industry that can generate high-yield profit for our U.S. and UK investors.
We believe that the thoroughbred industry will soon undergo a period of change. It is a fact that elite human-athletes are getting faster at endurance races (using available scientific technology). Thoroughbreds are not trained in the same manner as elite human-athletes and, as a result, seem to be stagnating or getting slower at endurance races, i.e., 10 furlongs to 14 furlongs, even though they are getting faster at sprint-distance races, i.e., 5 furlongs to 6 furlongs. This is all the more consternating given the fact that the average thoroughbred (based on comparable cardiovascular and pulmonary measurements) is a much better athlete than the fittest elite-human-athlete.
We have made a commitment to our investors to use our expertise in genetics and cellular/muscular biochemistry to improve the breeding and development of thoroughbreds for endurance races. We will develop and train our thoroughbred assets in a manner similar to the way in which elite human-athletes train for endurance events.
Our scientific know-how will allow us to breed and develop a more optimally-fit racehorse product than is currently being developed in the thoroughbred industry. The thoroughbred industry’s inability to produce an optimally-fit athlete is demonstrated, inter alia, by the fact that (1) in the US, no three-year old colt has won the US Triple Crown since Affirmed in 1978; and (2) in the UK, no three-year old colt has won the English Triple Crown since Nijinksy in 1970.
We have the scientific know-how to achieve our objective, but need capital to implement our business plan.
Our business plan is based on a meticulous empirical study (undertaken by our chief executive officer ("CEO")) that classifies thoroughbred bloodlines into several female families, sire lines, and broodmare sire lines that, when properly combined, produce genetics that are capable of winning classic-distance races ("Breeding Model"). All of our breeding is done in accordance with the Breeding Model. While our business strategy is to purchase (at bargain prices) broodmares whose pedigrees conform to the Breeding Model and to breed them to stallions that not only fit the criteria of the Breeding Model but also are offered at reasonable stud fees, we do not sacrifice quality in the process. Our philosophy ensures that we will breed high-quality racehorses while simultaneously allowing for high-yield profit margins for our UK and US investors when our racehorses do well on the racetrack.
While our business goals are extremely challenging, we have the scientific know-how and the management team to accomplish these goals.