Netopia Internet cafe chain to boost IP E-Game revenues

MANILA, Philippines - IP E-Game Ventures Inc. said it expects Digital Paradise Inc. (DPI), owner of the Netopia chain of Internet cafes, to boost its revenues and increase customer base.

E-Games has acquired 75 percent of DPI from PLDT’s information and communications technology subsidiary ePLDT amounting to 97.56 million shares for P145 million in cash, funded through a combination of debt and equity.

Netopia has over 100 branches nationwide. E-Games officials said about 70 percent of their user base play games in Internet cafes. “The cafe chain, which the company intends to grow, will become a critical marketing tool for E-Games. Through a number of marketing initiatives, E-Games will be able to increase customer count, and hence utilization at Netopia branches,” they noted.

They added that active promotion of E-Games content at Netopia outlets will also help drive up revenues for E-Games as the company looks to increase its customer base through Netopia customers. “The result will be additional revenue and an increase in customer base for both Netopia and E-Games,” they pointed out.

E-Games officials also said that the current operations of Netopia will add over P300 million in revenues to the former. “Netopia’s income will also have a positive effect on E-Games’ bottom line,” they explained.