Exclusive franchising agreement with Logiscool

Asia Strategic Holdings Limited

27 June 2023

 

27 June 2023

Asia Strategic Holdings Ltd.

("Asia Strategic" or the "Company")

Exclusive franchising agreement for the development

of "Logiscool" in Vietnam and Myanmar

Asia Strategic Holdings Ltd. (LSE: ASIA), the independent developer and operator of consumer businesses located in emerging Asia, is pleased to announce that it has entered into an exclusive franchising agreement with Logiscool, kft ("Logiscool") for the development of coding schools for children under the brand "Logiscool" in Vietnam and Myanmar.

Logiscool teaches children coding and digital literacy in fun-based after-school centres. Founded in Budapest, Hungary, in 2014, Logiscool has taught over 185,000 students across ca. 170 locations in 35 countries.

Logiscool's unique educational platform is developed for easy transition from visual coding to text-based programming languages:

·   Blox coding: children start coding education with "building blocks". This unique visual coding method is always best adjusted to all ages and knowledge levels.

·   Mix coding: as a second step, students start writing codes in MIX mode, where they can see both the building block and the text-based languages in parallel.

·   Text coding: once students feel confident to leave the visual blocks behind, they move to text-based programming languages, like Python, Unity, Godot or C#.

Under the terms of this exclusive franchising agreement, the Company shall pay Logiscool (i) an initial fee across both countries and (ii) ongoing service fees as a percentage of revenues. These fees are in line with similar franchising agreements entered into by the Company.

The Company is planning for its first two centres in Yangon and Ho Chi Minh to be operational by the end of 2023, leveraging the strong operational expertise and the Group's resources on the ground. 

Commenting on the partnership, Gyula Csitári and Dr. Anita Breuer, founders of Logiscool, said: "We are delighted that we have agreed to this strategic partnership with Asia Strategic Holdings for the provision of fun-based coding to children in both Vietnam and Myanmar. By boosting digital literacy, we aim to contribute to the development of both countries and future-proof the younger generations. We look forward to a long and prosperous relationship with Asia Strategic Holdings and further expanding the Logiscool global brand into emerging Asia."

Commenting, Enrico Cesenni, Chief Executive Officer of Asia Strategic Holdings, said: "Over the years, Asia Strategic Holdings has assessed several brands and teaching methodologies. With a presence across 35 countries and an award-winning proprietary methodology, Logiscool has emerged as a clear leader with an excellent offline and online product. The addition of Logiscool helps materialise the Group's goal of providing quality STEM education for all ages in emerging Asia and preparing the local youths for the economy of tomorrow. We hope that this partnership marks the beginning of a highly beneficial, mutual relationship with Logiscool."

For more information, please visit www.asia-strategic.com or contact:

Asia Strategic Holdings Ltd. Richard Greer, Independent Non-Executive Chairman Enrico Cesenni (OSI), Founder and CEO	[e-mail] [e-mail]
Allenby Capital Limited (Broker) Nick Athanas Nick Naylor Lauren Wright	[phone]
Yellow Jersey PR (Financial PR) Sarah Hollins Bessie Elliot	[phone]

Notes to editors

Asia Strategic Holdings Ltd.  

Asia Strategic Holdings Ltd. (LSE: ASIA) is an independent developer and operator of consumer businesses in emerging Asia. The Company's portfolio focuses on Education and Services with the view to expand within the broader consumer sector and is located in Vietnam and Myanmar, two of the fastest growing economies in the world over the last decade.

Education sector:  the Company operates a range of brands across English language learning, tertiary education and K-12. As of June 2023, it operated 20 schools (19 at 31 March 2023), serving ca. 8,200 students (ca. 8,100 at 31 March 2023).

The Company currently has exclusive development and franchising agreements with Wall Street English to develop English language centres across Myanmar. As of June 2023, Wall Street English Myanmar served over 3,600 students through five centres.

In July 2020, the Company completed the acquisition of the Wall Street English business in Vietnam. Founded in 2013, the WSE Vietnam business operates through seven centres in Ho Chi Minh and Binh Duong serving over 3,700 students (3,600 at 31 March 2023).

The Company also operates a joint venture with Auston Institute of Management to develop and operate the Auston University. Auston opened in May 2018 offering diplomas in Engineering Technology, Mechanical Engineering and Networking, Information Systems, and Security. English language learning is also provided by the Company's nearby Wall Street English centre. In February 2020, the Company announced a partnership with Liverpool John Moores University to provide high quality engineering training programmes for young, working professionals in Myanmar, to be taught by its teaching staff in Myanmar. As of 30 June 2023, Auston University served ca. 600 students (580 at 31 March 2023).

In August 2019 the Company launched its first private K-12 international school, the Yangon American International School ("Yangon American") in Yangon. In July 2021 Yangon American was recognised as an official International Baccalaureate Primary Years Programme ("IB PYP") school by the International Baccalaureate Organization.

In April 2022, the Company entered into an exclusive franchising agreement with Kids&Us for the development of English language schools for children across Myanmar. The first centre opened in Yangon in June 2023. In August 2022, the Company entered into an exclusive franchising agreement with Kids&Us for the development of English language schools for children across Vietnam. The first four centres are operational in Ho Chi Minh.

Services sector:  through its acquisition of EXERA, the Company offers security, risk management and secure logistics services. Founded in 2013, EXERA employs approximately 1,400 well-trained and high-quality security officers (1,500 on 31 March 2023) making it one of the largest security services providers accredited to "ISO 18788 Management System for Private Security Companies" in Myanmar.

Furthermore, the Company provides hospitality services, managing two boutique hotels in core tourist locations in Myanmar, operating under the award-winning Ostello Bello budget hospitality brand. The Company operates an asset-light strategy, entering into long-term operating and management agreements with local hotel owners.

Vietnam and Myanmar were among the fastest growing economies in Asia in 2017-2020 (Source: Asian Development Bank). Vietnam's annual GDP growth rate is expected to be 6.5% in 2023 and 6.8% in 2024, while Myanmar's is expected to be 2.8% in 2023 and 3.2% in 2024 (Source: Asian Development Bank).

The Company is well positioned to provide investors early exposure to Vietnam's and Myanmar's strong economic fundamentals enhanced by ASEAN's wider growth prospects. 

To receive news alerts on Asia Strategic Holdings please sign up here under the 'RNS' header: https://asia-strategic.com/investor-relations/

 

END