MANILA, Philippines—IP E-Game Ventures Inc. (E-Games) and Level Up! Inc. (LUI) have completed the merger of their Philippine online game publishing operations, creating the biggest business of its kind in the country with more than 37 million registered users and five million active users per month.
In a disclosure to the Philippine Stock Exchange on Monday, the publicly listed E-Games announced that it had closed the deal to transfer select game titles and assets to LUI. In exchange, it will receive an equity stake in LUI and a cash consideration.
With the merger, E-Games will jointly own LUI with Tencent and MIH group. Tencent is China’s leading Internet services provider while MIH is a unit of Naspers Ltd., the holding company that owns Multiply.com, Sulit.com.ph and some other online companies.
The transaction has been unanimously approved by the stockholders of E-Games—a unit of IP Ventures led by technology entrepreneur Enrique Gonzales—during the special stockholders meeting on March 22.