High in the saddle

In addition to thoroughbred racing, Teo is also keen on developing the horse industry in China. He wants Ordos to become China's horse capital.

"The relevance of the horse industry for China is very real, especially in Inner Mongolia, where the horse culture runs very deep in the lifestyle of its people. Now the challenge is to translate that culture into a mature horse industry.

"Our vision is to embrace and learn from the best successes in America, and then use the Chinese way to make it into a top showcase for our horse culture in China," Teo explained.

Since 2013, CHC has been organizing a trademark event, the China Equine Cultural Festival held both inside and outside of China. The 2017 festival in Ordos welcomed competitors from other countries and the events were live-streamed to other countries with viewership in the millions.

In 2016, Teo formed the joint venture Inner Mongolia Yitai Desert Star Horse Industries (YTDS) with Zhang Donghai, chairman of Inner Mongolia Yitai Group, a coal company.

"Teo has developed a horse business in the past few years around the world, and now he's trying to develop China's horse industry. Eventually we became partners. In a way, he led me into the horse industry," said Zhang.

Zhang's hometown is Ordos, the gathering place for Mongolian people in the traditional horse culture, so the business comes naturally to him.

YTDS has already signed a 20-year contract to manage the 27,000-seat Ordos Racecourse, where they plan to hold their first international event in 2020.

YTDS has also established a breeding center in the Ordos Equine Disease Free Zone. More than 100 thoroughbreds have been imported from Australia, New Zealand and the US to breed China's own racing stock. YTDS has the ambition to eventually build a breeding center encompassing more than 4,000 acres to breed upwards of 2,000 horses.

"Hopefully, the dream of Justify — which is no longer a dream but a reality we achieved — can encourage and induce the Chinese to get involved. We can do it in China and be one of the best in the world," Teo said.

China is certainly poised to develop its horse industry. In December of last year, the National Development and Reform Commission named horse racing as one of the core projects to develop Hainan province's international tourism.

In Guangzhou, the Hong Kong Jockey Club manages Conghua Racecourse, where five races were held in March to promote racing. Horse-related projects are also being developed in Chengdu, Wuhan and elsewhere in China.

As China gradually puts forward policies to develop its horse industry, some see potential obstacles in the way. Betting on races has been prohibited on the Chinese mainland since 1949. Some investors view the ban as a problem and stay on the fence.

But that, to Teo, is a misconception.

"A lot of people don't understand China's horse industry. They think that without the initial betting, horse racing can't start.

"I think China should start in two steps," he suggested. "The first is to build all the infrastructure, like what we are seeing in Kentucky — breeding, growing the pastures, getting all of the veterinary support and policies in place. Then the other things can come in."

Teo does not only want to see China-bred thoroughbreds on racetracks around the world, he also wants to see Chinese jockeys on the horses. He has sent Chinese jockeys to train and race in other countries. One of them, Qing Yong, is emerging as a top jockey.

"We want to make a Yao Ming out of him. You will see the rise of Chinese jockeys," said Teo.