PhilWeb halts trading as shares plunge after Duterte “stop online gambling” vow

Confusion continues to reign over the Philippines gaming industry after the country’s new president warned that “online gambling must stop.”

On Friday, Andrea Domingo, the new chairperson of the Philippine Amusement and Gaming Corp (PAGCOR), gave a local radio interview in which she announced that PAGCOR would halt the issuance of any new eGaming licenses until it determines what exactly President Rodrigo Duterte meant by “online” gambling.

PAGCOR issues ‘eGaming’ permits to internet cafés and eBingo parlors managed by companies like PhilWeb and Leisure & Resorts World Corporation (LRWC). These outlets offer Philippine nationals the ability to use computer terminals offering online card and table games, video poker, slots and lottery games. Since 2010, these online options have undergone a significant spike, with the total number of eGaming machines in operation rising from 2,160 to 12,000.

PAGCOR’s announcement contributed to PhilWeb’s shares losing 22% of their value on Friday. LRWC’s shares took a smaller hit, falling nearly 9%. PhilWeb operates 268 PAGCOR-licensed eGames cafés, which contain a total of 8,839 gaming terminals.