KUALA LUMPUR (Dec 8): Education provider, Eduspec Holdings Bhd will grant an exclusive distribution rights of its education products to CM Asia Learnings Pte Ltd, after signing a master distribution agreement with the Singapore’s software solutions provider.

Additionally, Eduspec will acquire a 19.35% stakes of CM Asia, upon execution of the agreement.

In a filing with Bursa Malaysia, Eduspec said it had on Dec 7, signed the agreement with CM Asia, whereby the company grants an exclusive distribution rights within the designated markets and the right to appoint resellers or distributor to distribute Science Technology Engineering Mathematics (STEM) Education Using Robotics, Stem Computer Science For Schools Program (STEM CS) and Software Development Program (SDP) to CM Asia.

A cash deposit of US$1 million or SGD1.4 million will be paid to Eduspec, within 10 days from the effective date of the agreement.

Eduspec opined the agreement is to enhance the development of the market and increase the sales of its products in the designated markets, through cooperation with CM Asia, which has processed a readily available sales network in the territory.

The agreement will contribute positively to the future earnings of the Eduspec, it said.  

Eduspec was unchanged at 31 sen today, valuing it at RM262.2 million.

 (Note: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)