I think what you may be talking about is a scrotal hernia, where a loop of intestines drops from the abdomen through a canal into the scrotum where the testicles are. The canal is there so that the testicles can drop in a young colt from inside the abdomen to the scrotum where they belong. If that's what you are dealing with, it might need surgery and if I were buying the colt, I would assume that surgery would be needed at some point. If the intestine gets caught and pinched, it loses blood supply and the tissue can die. It's called a strangulated hernia at that point and it is a life-threatening condition. Sometimes in young animals the muscle will grow stronger and the 'canal' will get smaller but at 2, I would assume that if he's still having trouble with it, it might not completely close.