IP E-Games inks deal with gaming firm
Listed firm IP E-Games Ventures Inc. has signed a distribution contract with one of the world’s largest video game makers in a deal that could greatly increase its revenues.
IP E-Games on Thursday said its subsidiary X-Play Online Games Inc., together with Take-Two International S.A., would develop a new sports social Web game for the global market.
“The said online social Web game will be locally hosted and operated in the Philippines,” the listed firm said in a disclosure to the Philippine Stock Exchange.
Take-Two International is a subsidiary of Take-Two Interactive, a company headquartered in New York City and listed on tech-bourse Nasdaq.
The group owns hit games titles such as Grand Theft Auto and the Midnight Club racing series.
Take-Two “is a leading developer, marketer and publisher of interactive entertainment for consumers world-wide,” IP E-Games said.
X-Play online, meanwhile, is a joint venture between IP E-Games and broadcast firm GMA Network Inc. through unit GMA New Media.
“E-Games is expected to substantially increase its publishing revenues from this new title,” the company said, but declined to further elaborate on the deal.
“More details will be disclosed at a later date,” the company said.
IP E-Games is the country’s only listed online gaming company.
But last February, the company announced that it would spin off its gaming business to a new company to be formed in partnership with rival Level Up! Games.
The company declined to say whether it would get a majority stake or settle for a minority interest in the venture to be called Playweb Games Inc.
IP E-Games has more than 15.9 million registered gamers and an average of 3.5 million active users a month. Last year, IP E-Games acquired several Internet cafe chains, including market leader Netopia.
The company said it was considering the franchising of its Internet cafe brands as well as the incorporation of other services such as food-and-beverage and remittance services.
Recently, IP E-Games also acquired the rights to operate and sell advertisements for the NBA.com Philippine portal.
