PhilWeb Signs Cooperation Agreement on E-Bingo
PhilWeb Corp. (PSE: WEB) and Palmary Corp. signed a cooperation agreement to jointly develop their electronic bingo or e-bingo businesses starting June 1, 2019. PhilWeb currently operates six e-bingo outlets, while the Palmary group of companies operates sixteen outlets. The Palmary Group is also an accredited supplier of e-bingo machines in PAGCOR’s network of over 300 ebingo outlets with over 30,000 e-bingo terminals.
“We are very excited about our future in the e-bingo business in cooperation with the Palmary Group,” said Gregorio Ma. Araneta III, chairman of PhilWeb. “When combined with our growing e-Games business, we now have an expanding, two-fold footprint in the whole electronic gaming sector.” PhilWeb is currently the service provider to 67 e-Games outlets, and together with the Palmary Group, would co-manage 22 e-bingo outlets.
Araneta continued, “I remain deeply committed to getting PhilWeb back to its former profitability levels, during which times we were able to pay out high dividends to stockholders and generate significant share price increases as well. We are also committed to our role in consistently increasing the revenues of PAGCOR, which we have done for over thirteen years.”
Palmary Corporation also signed a Share Purchase Agreement to purchase 97,333,333 shares of PhilWeb Corporation, representing 6.78% of the company. Araneta said, “I welcome the Palmary Group’s investment in our company, a great sign of faith in the positive developments we have attained in the past year. I believe this investment will result in positive gains for both over the next few years.”
PhilWeb is an accredited service provider to PAGCOR, the Philippine Amusement and Gaming Corporation, for its network of electronic gaming outlets. It also has a wholly owned subsidiary, BigGame, Inc., which has PAGCOR Gaming Licenses for its e-Games outlets. Palmary Corporation is an operator of electronic bingo outlets and an accredited e-bingo machine supplier to PAGCOR, for its network of electronic bingo outlets.
