Montreal: Cinar Corp. has taken a step towards an increased presence on the Internet through a strategic investment partnership in The Lightspan Partnership, a u.s. educational web and online company based in San Diego, Calif.

Cinar president and co-ceo Ron Weinberg says initiatives under study include shared distribution of products, the production of a convergence educational series broadcast on both tv and on a broadband web basis, and the codevelopment of a pre-kindergarten educational portal based on subsidiary HighReach Learning’s materials and programs.

Cinar has invested us$12.5 million in the purchase of 2.5 million shares of Lightspan series e preferred shares, with plans to purchase an additional us$10 million of common stock in a private placement. Cinar was also granted warrants to purchase an additional 500,000 Lightspan series e preferred shares.

Weinberg becomes a member of Lightspan’s board of directors.

Founded in 1993, Lightspan (www.lightspan.com) has expanded rapidly in the past year and is currently preparing an ipo. The company recently merged with Smarterkids.com, an online children’s educational store, which becomes part of Lightspan Learning Store.

Lightspan also emerged earlier this year with Academic Systems, a provider of interactive instructional software in mathematics and writing used in developmental and entry-level courses in higher education.

Company products include Lightspan Achieve Now, an interactive core curriculum software operating on Windows and Sony PlayStation platforms and used in more than 2,500 elementary and junior high schools in 44 states; Lightspan PageOne, a free, customized teachers’ resource; and Lightspan Network, a reference service for curriculum-aligned educational content on the Web.

Cinar education subsidiaries made up 50% of the company’s revenues in the last reported quarter. The division includes Carson-Dellosa Publishing, HighReach and Edusoft, a producer of international multimedia and website content for both the educational and entertainment sectors.

Lightspan investors include Microsoft, Tribune, Comcast, Liberty Digital, Kleiner Perkins Caufield and Byers, Intel, Vulcan Ventures, Merrill Lynch, Hambrecht & Quist and Softbank Holdings.