Hong Kong-listed Century Entertainment has announced that it is setting up a joint venture with a gaming system service and contents provider in the Philippines to market and develop its platform and content.
According to filing on Tuesday, Century Entertainment, which operates VIP rooms in Dara Sakor, Cambodia, is teaming up with a Philippine Amusement and Gaming Corporation (PAGCOR)-licensed company registered in the country, with the joint venture to be registered as a limited liability company in Hong Kong.
Under the agreement, Century Entertainment will hold 51 percent equity interest, with the partner holding the remainder.
The group informed that both parties will work to ‘formalize the corporate structure, governance, and operational framework within 30 days’.
According to the current memorandum of understanding, Century will provide tech support for R&D, platform maintenance, market access, business development resources and administrative support. The JV partner will ‘contribute its proprietary gaming system platform, content, software, source code, and associated intellectual property rights’.
Profits and losses will be shared in proportion to equity interests in revenue, based on the gross gaming revenue of the gaming platform, with third-party platform revenue still to be determined.
Century Entertainment notes that the MOU ‘is not legally binding’, and there is no assurance that the JV ‘will proceed as contemplated or at all’.
The move marks a significant opportunity for the Cambodia-centric company to venture into the booming Philippine gaming market.
