PhilWeb inks deal to operate Internet gaming in Laos

MANILA, Philippines – PhilWeb Asia-Pacific Corp., a subsidiary of PhilWeb Corp., has signed a memorandum of understanding with the Simuong Group (SMG), an industrial conglomerate based in Vientiane, to jointly develop and operate Internet and mobile games of chance in Laos.

In a disclosure to the Philippine Stock Exchange, PhilWeb said these games, which will operate under exclusive Lao People’s Democratic Republic government franchises, include internet gaming cafés (similar to those operated by PhilWeb on behalf of Pagcor), lotteries and others.

Founded in 2000, the SMG group is engaged in infrastructure construction, development and design, import-export, auto dealership, hydroelectric engineering, mining, wood processing and finance in Laos.

This will be SMG’s first venture into the gaming business, where PhilWeb’s expertise and track record will prove to be a major advantage. Gaming is legal in Laos for foreigners, and is covered by provincial government franchises. Lao “border casinos” today host players from Thailand, Vietnam, China and other countries.

PhilWeb, the country’s first and largest listed online technology firm, earlier signed an agreement with 5P Corp. Ltd. of Cambodia to operate internet-based and mobile-based games of chance in that country.

As part of its international expansion strategy. PhilWeb is also working to obtain gaming licenses in other countries, including Laos, Vietnam, Myanmar, Guam, Saipan, Palau, Papua New Guinea, East Timor, and Nepal.

PhilWeb posted a net income of P322 million in the first half of the year, up 41 percent from the previous level, on strong revenues from its core gaming operations. Revenues grew 40 percent to P508 million from P362 million a year earlier.

PhilWeb is a lead technology enabler of state-run Philippine Amusement and Gaming Corp. (Pagcor) whose core businesses include e-Games Cafes, Internet sports betting stations, mobile phone gaming and online casino gaming.

Other products, namely Basketball Jackpot, Premyo Sa Resibo and the newly-launched Bid Wars mobile game also boosted PhilWeb’s financial performance.

The company expects it bottom line to reach over P1 billion this year with the launch of its e-Games Online, operated by subsidiary PhilWeb Homeplay Inc. which allows Filipinos nationwide to access Pagcor’s traditional casino games like blackjack, baccarat and roulette.

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