LISTED technology service provider PhilWeb Corp. is planning to purchase 15 of the Philippine Amusement and Gaming Corporation’s (Pagcor) 286 e-Games outlets in a bid to continue providing service technology to the e-Games stations.
In a disclosure to the Philippine Stock Exchange on Wednesday, PhilWeb said its board of directors has approved its plan to acquire 15 Pagcor e-Games outlets from existing independent operators.
PhilWeb will use 7.5 million shares held in treasury as payment for the transactions, it said.
It said the shares to be used come from the 354.62 million shares which it bought from PLDT Inc. in 2013, broken down into: 81.38 million shares held by the company as treasury shares; 260.39 million shares held by PhilWeb Casino Corporation; and 12.8 million shares held by Pure Corporate Investments Limited. PhilWeb Casino and Pure Corporate are both wholly owned subsidiaries of the company.
PhilWeb opted to buy e-Games outlets after its talks with Pagcor to revive its license to operate e-Games stations failed.
The company’s license with Pagcor to operate the 286 e-Games outlets expired in August last year.
PhilWeb tried to request for a reissuance of the license but Pagcor said that a reissuance of license was not possible and that it would source a technology provider through public bidding, based on Republic Act 9184 or the Government Procurement Reform Act of 2003.
When it was still the technology service provider for the e-Games outlets, PhilWeb had employed 700 personnel and 5,000 others as e-Games operators. In its 14 years of operations, it remitted more than P14 billion to Pagcor for use in the agency’s various programs.