Two Way, Tabcorp to set up wagering service on FOXTEL 17:02, Friday, 8 June 2007
Sydney - Friday - June 8: (RWE Australian Business News) - Two Way Ltd (ASX code: TTV) had signed an agreement with Tabcorp Holdings Ltd (ASX code: TAH) and FOXTEL to develop a pay TV wagering service on the FOXTEL platform. The service will initially be offered in NSW and Victoria, subject to regulatory approvals in each state. Once the service is introduced, Tabcorp account holders with FOXTEL will be able to place bets via the Sky Racing Channel. Wagering on the service will be password-protected and will not be accessible without an active Tabcorp wagering account. Under the five-year agreement, Two Way will pay FOXTEL $5.6 million in two tranches, with the first 50 per cent to be paid on completion of today's agreement and the remainder payable upon commercial launch of the service. Following launch of the service, Tabcorp will pay a service fee derived from wagering turnover through the service. Two Way will retain 100% of this fee until it reaches a total of $5.6 million, after which Two Way and FOXTEL will split the fee equally.
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