Dublin-based specialist spread betting firm, Sports Spread, has won a $20 million (€20 million) contract to manage the sports betting business of a number of US online casinos.

The deal has been agreed with Chartwell Technologies, a Nasdaq-quoted company which provides gaming and information systems for firms engaged in the internet gaming industry.

The profits generated by the online betting service will be split two ways with Sports Spread getting 70 per cent of the profits while 30 per cent will go to Chartwell.

"They are going to do the marketing and client promotion; we are going to do the risk management," said Mr Conor Foley, Sports Spread managing director.

"It is a very low cost entry for us into an overseas market as well as having a significant impact on our revenues, diversifying our risk and expanding our growing product range."

The size of the US market can be gauged from this year's Super Bowl final in January where an estimated $7 billion was wagered on that game alone. Sports Spread, set up in February and employing 20 people, will set and monitor the betting prices or odds of the events and manage the risk of the bets placed through its fixed odds betting division, Supreme Odds.

The US online casinos, whose limited online service records turnover of around $20 million a year, have decided to outsource to allow them to offer a more comprehensive service while concentrating on running their own casino business.

Sports Spread had aimed to generate turnover of about €50 million this year but following the agreement, this now looks set to be higher.