Interactive media company Two Way Limited (ASX:TTV) has partnered with Sportingbet Australia to develop an IPTV-based betting service.
The service will be implemented on internet-compatible TVs and Blu-ray players. It will be set up to allow bets to be placed via a remote control, on all sports events broadcast on free-to-air, pay or IPTV.
TTV shares jumped 24.1% to $0.036 following the announcement.
Under the five year agreement, Two Way will receive a license fee and an ongoing share of revenue from bets placed via the service.
The company has also negotiated to become Sportingbet's exclusive provider of betting services via any TV platform for the duration of the deal.
Two-Way's sister company in the UK, Two Way Media, has already implemented an internet TV sports betting service in its local market.
Two Way CEO and managing director Ben Reichel said the offering will be Australia's first TV sports betting service. “We are looking forward to applying our expertise in TV-based wagering to sports betting,” he said.
He said an estimated 35% of all TV sets to have shipped in 2010 will have internet connections, a figure that will grow to 70% by 2014.
Two Way meanwhile revealed that its share purchase plan, which closed on December 3, raised just over $165,000. It raised $400,000 in a share placement last month at $0.03 each.