IP E-Game Ventures plans to foray into REIT

MANILA, Philippines — IP E-Game Ventures Inc., a former leading online game publisher, wants to play a new role as it looks to diversify and foray into the real estate investment trust (REIT) space.

In a stock exchange filing, IP E-Game said its board approved the company’s investment in a corporation that would engage in the business of REIT.

The company said its investment in the REIT corporation is subject to the approval of the pertinent regulatory bodies, after compliance with the relevant laws, rules and regulations in the incorporation, registration and listing of the said REIT firm.

IP E-Game intends to fund its investment into the REIT company through a combination of equity and convertible debt and other instruments.

The listed company used to be a leading online game publisher in the country, with a portfolio of massively multiplayer online role-playing games and casual online games.

It pioneered the free-to-play business model, in which gamers are not required to pay a subscription fee to online games.

IP E-Game then became primarily an investment holding company and has since embarked “on a transition from its old business model to a new strategic focus based on market opportunities deemed attractive by its board.”

Among the sectors the company was previously exploring are gaming, leisure, entertainment and natural resources.

It also earlier expressed plans to pivot towards the technology sector, particularly financial technology.

IP E-Game debuted on the Philippine Stock Exchange in 2010, making it the first online gaming company listed on the PSE.

However, the PSE 2017 suspended the trading of shares of IP E-Game due to its failure to submit its annual report using SEC Form 17-A.

The company’s last trading date was on May 2, 2017, with its shares closing at P0.0094.

China Bank Capital Corp. managing director Juan Paolo Colet said IP E-Game should provide more information on the proposed REIT, including the real estate assets that will be infused and whether the investment means that the company is shifting to a new business model.