KUALA LUMPUR (Oct 1): Media Prima Bhd's wholly-owned subsidiary Synchrosound Studio Sdn Bhd has entered into a conditional share purchase agreement to acquire 500,000 shares or a 100% stake in radio services company Copyright Laureate Sdn Bhd, for RM20 million.

Copyright Laureate is principally engaged in the operation of two radio broadcasting stations currently known as Ultra FM and Pi Mai FM.

In a filing with Bursa Malaysia today, Media Prima said that Synchrosound had entered into the agreement with the vendors of Copyright Laureate, namely Mohamad Fazhly Johari, Hamyzar Toha and Lau Chuan Chiat.

The proposed acquisition is in line with Media Prima's business strategy of acquiring more media assets to add to its existing portfolio.

Media Prima currently operates three radio stations, namely Hot.fm, Fly.fm and One.fm.

"Additional radio stations would enable Media Prima to expand its offering to the general consumers, media buyers and advertisers, leveraging on its position as an integrated media investment group," read the group's announcement.

As part of the Media Prima group, these radio stations are expected to derive potential synergistic benefits from collaborative sales and marketing strategies between the radio platform and other media platforms within the group, as well as enjoy significant cost savings through the consolidation of back office and operational costs.

At 2.46pm, Media Prima shares were trading up 4 sen or 3.3% at RM1.24, with 484,200 shares traded and a market capitalisation of RM1.35 billion.

(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.)