Sam is a professional trader and the lead stock market news writer at AskTraders. After starting his career in the forex market, Sam now focuses on gold and stocks with a preference for fundamental and macroeconomic analysis.
Tekcapital (LON: TEK) said on Monday that its portfolio company, Lucyd Ltd's US operating company, Innovative Eyewear Inc, has signed an exclusive purchase and distribution agreement with 8 Points Inc.
8 Points is a subsidiary of Marca Eyewear Group, a Canadian distributor that provides high-end spectacles for optical stores and eye care professionals.
The agreement will see 8 Points make a minimum purchase of $4.6m worth of Lucyd Lyte e-glasses over 30 months, which is needed for them to maintain retail distribution exclusivity in Canada. The minimum monthly purchases will increase incrementally over the term of the agreement.
8 Points will provide Canadian warehousing and dual-language customer support.
In a statement, Lucyd said it believes the agreement will result in “significant market penetration of its Lyte glasses throughout all provinces and territories in Canada.”
The company's co-founder and CEO, Harrison Gross, said, “the Marca Eyewear Group have represented numerous renowned eyewear brands over the past 24 years. As a result, we believe this agreement will enhance Lucyd's first-mover advantage as a technology, style and price leader in the emerging smart eyewear market in Canada.”
Tekcapital's share price has rallied 13.75% to 18.2p on the news, adding to its gains in the last three months.
Tekcapital shares are traded on the London stock exchange's AIM market (the alternative investment market), which is the submarket specifically for smaller companies. AIM stocks are attractive to investors as they have tax advantages and smaller companies have the potential to benefit from rapid growth. But are Tekcapital shares the best buy? Our stock market analysts regularly review the market and share their picks for high growth companies
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