MANILA, Philippines - IP E-Game Ventures (E-Games) and Level Up! Inc. have merged to create the largest online game publishing business in the Philippines.
The two companies closed the deal to transfer select E-Games titles to Level Up. In exchange, E-Games will get an equity stake in Level Up and cash consideration, which was no specified.
The deal was approved by stockholders of E-Games during a special stockholders' meeting on March 22.
"Combing the gaming business of both E-Games and Level Up will result in the largest gaming business in the Philippines with over 37 million registered users and over 5 million active users per month," E-Games said, in a disclosure to the stock exchange.
Among the published online games from the two companies are: RAN Online, CABAL Online, Ragnarok Online, ROHAN Online, Grand Chase Online and the newly launched Bounty Hounds Online.
"The transaction is expected to transform the landscape of Philippine online gaming industry. Both parties anticipate that the transaction will generate improved earnings for the combined business in the short and long term," it said.
Despite the merger, E-Games said it will keep its subsidiary X-Play Online Games Inc. X-Play will remain its game publishing arm, focusing on sport genre games and Triple A games from developers.
"E-Games expects X-Play to generate significant traction upon launch of those titles," it said.
E-Games is the listed online gaming subsidiary of IP Ventures Inc.