A pragmatic approach to ownership is all about trying to balance the books for prominent owner Kevin Payne.
Not for the first time, Payne and his wife Vikki found themselves at the centre of the bloodstock trading world during the week in a deal involving a potential Blue Diamond Stakes runner.
Katsumi Orochi, barely exposed and seemingly untapped, is the latest example of how Payne has relinquished control of a racehorse’s destiny because it made financial sense to do so.
Payne has been there before and Katsumi Orochi is unlikely to be the last he sells under similar circumstances.
“We certainly don’t buy horses and race them with the intention of selling them. That’s not the business plan,” Payne told The Straight.
“I don't particularly want to turn them over but it's an expensive business to be in.
“So if you're not winning, or winning enough, you need to look at each opportunity that arises and treat it singularly and that's sort of what I did with (Katsumi Orochi).
“I’ve got a bit of a saying: ‘let nature take its course’ and if nature decides it’s an opportunity that comes up at the right money, that’s what we do.”
Payne sold a majority stake in Hitotsu just three starts into the colt’s career to an Ozzie Kheir-backed private syndicate.
It was an offer too good to refuse and it has turned out to be a lucrative piece of trading for both parties as Hitotsu collected three Group 1 wins under the training of Ciaron Maher and David Eustace.
Sweeping aside the best of his age group, Hitotsu claimed the Victoria Derby, the Australian Guineas and the ATC Australian Derby to establish his bona fides for a place on Arrowfield Stud’s stallion roster.
Other choices Payne has made have been more definitive.
His twice Group 1-placed filly Tutta La Vita attracted US dollars when she sold for $3.2 million to international bloodstock newcomer John Stewart at last year’s Inglis Chairman’s Sale.
And Hong Kong called when Kosgei, an eye-catching fourth in the Victoria Derby, made a record $750,000 in December for an Australasian colt or gelding offered during an online auction.
Hitotsu learned his racing craft under the guidance of Cranbourne trainer Wendy Kelly and her husband Kevin.
Katsumi Orochi has emerged through the same system but Payne admits he agonised over the terms of sale to microshare syndicator Myracehorse that meant the colt would miss the Blue Diamond and be lost to the Kellys in favour of a transfer to Anthony and Sam Freedman.
Because of a deep connection to a stable built on more than a usual trainer-owner relationship, reconciling that process has been an entirely different story.
“Fundamentally, it was a difficult decision to sell because I'm close with the Kellys. But we got a very good offer,” Payne told The Straight.
“I would have preferred to have kept the horse with the Kellys. I tried really hard to see if I could do something to leave the horse with them but it just wasn't possible.
“But at the end of the day, it is a business decision as well so we made the call. But yes, it was a very difficult decision although we’ve stayed in the horse … we haven’t completely got out.”
Despite Katsumi Orochi’s absence from the Blue Diamond, the headline race at Caulfield’s most significant meeting since the spring carnival, remains one of anticipation for Payne.
Estriella, an I Am Invincible mare, will take a record of five wins from 12 starts into the Oakleigh Plate, the middle pin of Victoria’s autumn sprinting treble.
She is a Group 2 winner but her broodmare value will increase immeasurably if she can land a Group 1 result and Payne says everything has fallen into place for Estriella to give Maher his second Oakleigh Plate win.
Estriella has been tried four times at Group 1 level and Payne is banking on a change of riding tactics from a middle barrier to make use of her acceleration at the end of her race to bring out the best in the mare.
“We haven’t been unlucky in the Group 1 races she has been in. I can’t say that,” he said.
“But I think her ability tells us she is a Group 1 horse.”
Having sold one potential Derby contender for the autumn in Kosgei, Payne could easily unearth another when Estriella’s stablemate Shanwah runs in the Group 2 Autumn Classic.
Shanwah is going for a hat-trick of wins against several horses on a path to something much richer, including Emphasize.
“Emphasize is third favourite for the (Australian) Derby. If we can beat him there’s no reason why we can’t have similar aspirations,” Payne said.
