The online gambling service Sportingbet.com has said it has raised �18m so far, after offering part of the company for sale on London's junior stock market, the Alternative Investment Market.

Shares in the company were priced at 120p, valuing the agency at �156m.

The business - which offers an internet and telephone bookmaking service to customers in 103 countries - is somewhat of a rarity in the dot.com world because it makes a profit.

"The expansion of the company is substantial," the company's finance director Nigel Payne told BBC News Online.

"We've had an outstanding reaction from institutional investors to our initial public offering," he added.

Odds on its side

Sportingbet.com was launched in October 1998 and was the first tax-free online betting service to be established within Britain.

It now has over 50,000 customers in 103 countries and covers all the major international sports, including 19 international soccer leagues.

"The key issue for sportingbet.com is that bookmaking is an established industry which is using the internet as a new distribution tool," said Nigel Payne.

He emphasised that all of the �18m raised this week would be used to fund further expansion, especially in the key markets of Australasia and Far East.

And he did not rule out a further share issue.

"I wouldn't rule out going back for more funds at some point in the future, but at the moment we're not".

Boost in online betting

Online betting saw a big growth in Euro 2000.

Ladbrokes and William Hill, two of the big UK High Street names, have both set up tax-free betting sites on the web.

Internet bookies have the odds on their side as they don't have to charge customers betting tax.

The government is expected to confirm the abolition of the tax in the next budget.