Fairyoung unit to buy 20 pct stake in Lawsons Infotech for 25 mln hkd

HONG KONG (AFX-ASIA) - Fairyoung Holdings Ltd said its wholly-owned susidiary China Software Development Ltd has proposed to buy a 20 pct stake in Lawsons Infotech (Holdings) Corp for 25 mln hkd that will help the company further penetrate China's education market.	    In a statement, the company said the consideration will be satisfied by the issue of 125 mln shares at an issue price of 0.20 hkd per share to Law Siu Kong, Barry Chan Wing Cheung and Tudor House Properties Ltd.	    The new shares represent a 7.31 pct stake in the enlarged share capital of Fairyoung.	    Under the agreement, Fairyoung and Lawsons Infotech will set up two joint-venture companies.	    The first joint-venture company will be set up by Fairyoung's unit, Praford Ltd and Lawsons Infotech. Praford will hold a 71.4 pct stake, with Lawsons holding the remaining stake in the joint-venture.	    The joint-venture will operate a website, tinyschool.com.hk, supported by Lawsons' busines management system and financial and payment system.	    The second joint-venture company will be set up by Fairyoung Development Ltd and Lawsons Infotech, with Fairyoung Development holding an 83.3 pct stake and Lawsons Infotech the remaining interest.	    The joint-venture will operate the website, bjbb.com.cn, which is an e-commerce portal.	    Fairyoung said with Lawson's complementing marketing network coverage, the group can further penetrate the mainland's education market.	    Lawson is an investment holding company and through its units, is involved in the development and licensing of turn-key systems and solutions for Asian customer relationship management, call centre and logistics fulfillment market. 

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