Expectations High For JRHA Sale

With new buyers and observers on the scene, including WinStar Farm President Elliott Walden, Airdrie Stud’s Bret Jones and Australian trainer Gai Waterhouse, Japan Racing Horse Association officials are excitedly awaiting the annual select sale that begins on July 13 at the Northern Horse Park on the island of Hokkaido.

While last year’s auction set records across the board headlined by gross of ¥12,5757,050,000 (about $123,284,803), this year’s trade could be even stronger, predicted JRHA Vice Chairman Teruya Yoshida, master of Shadai Farm.

“The number of lookers has increased and the quality of horses has improved,” Yoshida said. “So I think we could surpass the prices overall, and not just for the special horses, but for all the horses.”

Yoshida and his brothers, Katsumi Yoshida of Northern Farm and Haruya Yoshida of Oiwake Farm, provide most of the horsepower for the sale. Together, their farms are represented by 58% of the total entries in the catalogue, which includes 244 yearlings for the July 13 session and 241 foals for the concluding July 14 session.

Shunsuke Yoshida, who assists his father Katsumi in operating Northern Farm, pointed out that the success of Japanese-breds–such as the world’s highest rated runners in 2014, Just a Way (Jpn) (Heart’s Cry {Jpn}) and Epiphaneia (Jpn) (Symboli Kris S.)–are luring buyers.

“We are sending racehorses to the good international races every year now, and they have shown that the Japanese horses are strong,” Shunsuke Yoshida said, emphasizing their staying ability, a rarer asset in other parts of the world.

As he spoke, a steady stream of potential buyers stopped by both the Northern and Shadai consignments on July 11 after the first vanloads of yearlings arrived for inspection at the Northern Horse Park.

“There are so many people this morning. I am so surprised,” Yoshida continued, adding that he is especially looking forward to welcoming perhaps the first American buyers ever to participate in the sale, as well as the initial foray by Waterhouse.

Elliott Walden was among those inspecting yearlings on the warm, sunny day, with his list including several sons of the world’s leading sire by progeny earnings, Deep Impact (Jpn) (Sunday Silence), whose offspring have amassed $29.8 million so far in 2015.

“I’ve always been very interested in Japan. (Japanese buyers) come over and support us (in the U.S.) extremely well, so I thought it was good to come here,” Walden said. “I went to Australia a couple of years ago; we’re trying to branch out because the horse industry has become such a global market. Everybody is trying to find ways to compete and fit in, and we’re no different.”

Japanese breeders, particularly the Yoshidas in their Shadai Group of farms, have plenty to offer buyers from around the world after investing heavily in elite mares from the U.S. and Europe over the past several years, their buying boosted by the strength of the yen.

Thus, this year’s JRHA catalogue offers yearlings and foals out of such Grade/Group 1 star mares as Sarafina (Fr) (Refuse To Bend), Champagne d’Oro (Medgalia d’Oro), So Many Ways (Sightseeing), Lush Lashes (GB) (Galileo {Ire}), Weemissfrankie (Sunriver), Island Fashion (Petionville), Belle Watling (Chi) (Dushyantor), Contested (Ghostzapper), Gaviola (Cozzene), Dancing Edie (Moscow Ballet) and Ermine (Exchange Rate).

With the dollar having risen against the yen recently, Teruya Yoshida suggested that this is the perfect time for American buyers to jump into the Japanese pool for the first time. In the past, the exchange rate has not been favorable and Japanese prices, buoyed by the world’s most robust prize money program, thus have been too steep for most outsiders.

The financial scenario now is more favorable, agreed New York-based bloodstock agent John McCormack, who was among the potential buyers inspecting yearlings as soon as the horses were ready.

“I am hoping to buy,” McCormack said, adding that he would most likely be representing American clients and possibly some with a more European perspective. “I’m not here just to be here.”

McCormack, who has worked with the Yoshidas, said he also has been urging American breeders and owners he knows to visit the JRHA sale and see the quality of the horses on offer.

“There are a lot of American mares you can identify with in the catalogue and that were bought at Keeneland and Fasig-Tipton,” he said. “The world is a smaller place now.”

While several new figures will be attending the sale, there will be a notable absence: last year’s leading buyer, Sheikh Fahad Al Thani of Qatar, will not attend after two consecutive years of buying. During the 2014 JRHA sale, Qatar Bloodstock–which is affiliated with Sheikh Fahad and his family–sold a Frankel (GB) filly foal who is a half-sister to Hong Kong star Gold-Fun (Le Vei Dei Colori {GB}) for ¥96 million (about $941,177 under currency conversion rates at the time) to Toshio Terada. At the same sale, Sheikh Fahad spent ¥870 million ($8,529,411) on nine horses, including seven by Deep Impact.

After Sheikh Fahad made history as the first foreign-based buyer to top the JRHA sale, Teruya Yoshida said: “We feel that this is the beginning of a trend in which Japanese horses will be more popular around the world. This sale is very much established now.”

With more high-profile international figures at the sale in 2015, his prediction seems to have been right on the money.

A major part of the draw is Deep Impact, who continues to turn out talented offspring that can win anywhere, such as Australian Group 1 winner Real Impact (Jpn) and G1 Dubai Sheema Classic winner Gentildonna (Jpn). He also continues to receive the cream of the Shadai Group mares, as well as outstanding mares owned by Coolmore and other successful international breeders such as Alain and Gerard Wertheimer. Last year, the power of Deep Impact at the JRHA sale was revealed by the fact that his offspring generated nearly 25% of the gross while representing only about 8% of the number offered, with 13 yearlings and 21 foals. This year’s catalogue features more sons and daughters of Deep Impact–19 yearlings and 22 foals–so the effect on the sale could be significant.

However, the ongoing and rapid development of Japanese bloodstock means that Deep Impact is far from the only intriguing sire in the JRHA catalogue. Japan has by far its strongest group of budding young sires than at any other time in the sale history, with most of those stallions Japanese-breds.

A pair of Japanese Horses of the Year–Triple Crown winner Orfevre (Jpn) (Stay Gold {Jpn}) and sprinter/miler Lord Kanaloa (Jpn} (King Kamehameha {Jpn})–will have some of their first foals in that portion of the sale, as will the strikingly handsome Tokyo Yushun (Japanese Derby) winner Eishin Flash (Jpn) (King’s Best) and imported European record-setting multiple Group 1 winner Novellist (Ire) (Monsun {Ger}).

Among those sale sires with their first yearlings this year are GI Kentucky Derby and GI Preakness S. winner I’ll Have Another (Flower Alley), who will be represented by a pair of yearling colts as well as two foals, a filly and a colt, at the sale. Hip 42 by I’ll Have Another is out of stakes winner Maltese Heat (Old Trieste) and from the family of champion sprinter Eillo (Mr. Prospector) and Grade 1 winners Gygistar (Prospectors Music) and Flat Fleet Feet (Afleet).

Other sires with first yearlings include the well-bred international Group 1 winner Rulership (Jpn) (King Kamehameha {Jpn}) and Tokyo Yushun victor Deep Brillante (Jpn) (Deep Impact {Jpn}).

The young sirepower in the JRHA catalogue is amplified further by stallions whose first foals are juveniles, including G1 Dubai World Cup winner Victoire Pisa (Jpn) (Neo Universe {Jpn}); European champion Workforce (GB) (King’s Best); record-setting miler Danon Chantilly (Jpn) (Fuji Kiseki {Jpn}); and a pair of champions by Stay Gold (Jpn) (Sunday Silence): Dream Journey (Jpn) and Nakayama Festa (Jpn).

The July 13 yearling session begins at 10 a.m. local time (9 p.m. Eastern Sunday) and the foal session begins at 10 a.m. local time Tuesday (9 p.m. Eastern Monday). The catalogue is available here.