IPVG Corp to invest in new chain of high-end Internet cafés

Listed information and technology conglomerate IPVG Corp. is investing $385,000 for a 40-percent stake in an entity to be formed by its Internet café partner Sabiclub.com.

IPVG earlier inked an agreement with Korean IT firm Sabiclub to put up over 100 Internet cafés nationwide over the next two years.

“Instead of investing into 49 percent of Sabiclub, IPVG will invest into 40 percent of Sabiclub’s subsidiary which has yet to be incorporated,” IPVG said in a disclosure to the Philippine Stock Exchange.

IPVG said the new structure is still subject to the approval of the company’s board of directors.

Called  iHooked, the new Internet café chain and network gaming center will be  strategically located in key locations such as Makati City, Parañaque City, Tomas Morato Ave. in Quezon City, Baguio City and Boracay.

Each outlet is estimated to cost between P5 million and P10 million.

The group is looking at building its flagship branch in Makati which will have about 100 high-end computers.

iHooked’s design is based on Korea’s “PC bang,” a stylized Internet café popular in that country.

Two branches of iHooked have opened in Katipunan and Taft Ave. in Manila. The Katipunan, Quezon City outlet has over 60 top-of-the-line PCs, a spacious wireless Internet lounge, a bar and a sitting room allowing customers to order food from the bar.

iHooked Internet charges  will initially be at P36 per hour but pricing would depend on the location of the new branches. Price adjustments will range from P25 to P40 per hour to adapt to the growing market’s purchasing power.

IP Connect, a wholly owned subsidiary of IPVG, is the Internet provider for iHooked. IPVG’s participation would be to supply online games from its IP interactive sector.