MANILA, Philippines - Publicly-listed IPVG Corp. is raising its capitalization to P10 billion from P2 billion.
In a disclosure to the stock exchange, IPVG said its board approved the issuance of 2.8 billion shares out of the increase in its capital stock.
IPVG’s board also approved the issuance of 38 million shares to GEM Global Yield Fund Limited and GEM Investment Advisors. The shares will be sold at P1.23 for 19 million shares and P1.24 for 19 million shares, payable in cash.
IPVG completed last year the sale of all or substantially all of its assets to IP Ventures Inc., pursuant to the restructuring plan its shareholders approved last July. IP Ventures Inc. is a new company with the exact same ownership structure as that of IPVG Corp.
The aim of the restructuring is to increase shareholder value and generate cash for the company’s shareholders. It will also allow the firm to command a higher valuation and raise funds at better terms and conditions with leading private equity firms
IP Ventures’ subsidiaries operate in various industries, IP E-Game Ventures, the group’s onling gaming subsidiary and operates the largest network of Internet cafes in the Philippines; IP Converge Data Center Inc., the only listed data center company on the PSE.
It also operates I-Pay Commerce Ventures Inc., the fastest growing direct agent of Western Union in the Philippines. The company has also formed joint partnerships with PCCW of Hong Kong, Kennet Partners of the US and UK, GMA7 and The Philippine Star Group.