Star Navigation Announces Non-Brokered Private Placement

Rhea-AI Summary

Star Navigation Systems Group (CSE: SNA) has announced a non-brokered private placement offering units at $0.01 per unit. Each unit includes one common share and one warrant, with warrants exercisable at $0.05 per share over a 5-year period. The company will pay 10% finder's fees in cash on gross proceeds. Securities issued will have a four-month holding period. Proceeds will support working capital needs, focusing on operations, sales, and marketing of the Star-A.D.S.® system.

Positive

• Proceeds will support working capital and business development
• 5-year warrant exercise period provides long-term funding potential
• Warrants offer potential upside at $0.05 exercise price

Negative

• Significant dilution at $0.01 per unit offering price
• 10% finder's fees reduce net proceeds available to company
• Low unit price suggests challenging financial position

Brampton, Ontario--(Newsfile Corp. - May 5, 2025) - Star Navigation Systems Group Ltd. (CSE: SNA) (CSE: SNA.CN) ("Star" or the "Company") is pleased to announce that it has started a non-brokered private placement in the capital of the Company ("Units") at a purchase price of $0.01 per unit. Each Unit consists of one common share in the capital of the Company and one warrant. Each of the warrants acquired entitles the holder to purchase one (1) additional common share of the Company at five ($0.05) cents per warrant exercised. The warrants are exercisable during the five (5) year period from the date of issue.

The Company has agreed to pay finder's fees in the amount of Ten (10%) percent of the gross proceeds in cash. The price was reserved with the CSE.

All securities issued in the Offering and any shares issued upon exercise of warrants are subject to a four-month statutory hold period from the date of issuance. The net proceeds of the private placement will be used for working capital for further development of the operations, sales and marketing efforts surrounding the Star-A.D.S.® system.

About Star Navigation:

Star Navigation Systems Group Ltd. manufactures the In-flight Safety Monitoring System, STAR-ISMS®, the heart of the STAR-A.D.S.® System. The STAR-A.D.S.® System has real-time capability of tracking, performance trends and predicting incident-occurrences which enhances aviation safety and improves fleet management while reducing costs for the operator. Star's MMI Division (Military and Defence) designs and manufactures high performance, mission critical, flight deck flat panel displays for defence and commercial aviation industries worldwide.

Forward-Looking Information

Certain statements in this news release may constitute "forward-looking statements". Forward-Looking statements are statements that address or discuss activities, events or developments that Star expects or anticipates may occur in the future.

When used in this news release, words such as "estimates", "expects", "plans", "anticipates", "projects", "will", "believes", "intends" "should", "could", "may" and other similar terminology are intended to identify such forward-looking statements.

Forward-Looking statements reflect the current expectations and beliefs of Star's management. Because forward-looking statements involve known and unknown risks, uncertainties and other factors, actual results, performance or achievements of Star or the industry may be materially different from those implied by such forward-looking statements.

Examples of such forward-looking information that may be contained in this news release include statements regarding; growth and future prospects of our business; our perceptions of the industry and markets in which we operate and anticipated trends in such markets; expectations regarding the operation of our app; and our future revenues.

Material factors or assumptions that were applied in drawing a conclusion or making an estimate set out in the forward-looking statements may include, but are not limited to, our ability to execute on our business plan, increase visibility amongst consumers and convert users to revenue producing subscribers and the success of the business of our partners.

Forward-Looking statements involve significant uncertainties, should not be read as a guarantee of future performance or results, and will not necessarily be an accurate indication of whether or not such results will be achieved.

Should one or more of these factors or uncertainties materialize, or should assumptions underlying forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected.

Accordingly, readers should exercise caution in relying upon forward-looking statements and Star undertakes no obligation to publicly revise them to reflect subsequent events or circumstances, except as required by law.

NEITHER CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE CANADIAN SECURITIES EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Please visit www.star-navigation.com or contact

Mr. Randy Koroll, CEO at 1-416-252-2889 #228 or randy.koroll@star-navigation.com.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/250778

FAQ

What are the terms of Star Navigation's (SNAVF) private placement offering?

Star Navigation is offering units at $0.01 each, consisting of one common share and one warrant. Each warrant is exercisable at $0.05 for 5 years.

How will Star Navigation use the proceeds from the private placement?

The net proceeds will be used for working capital, operations development, and sales and marketing efforts for the Star-A.D.S.® system.

What is the holding period for securities issued in Star Navigation's private placement?

All securities issued in the offering, including shares from exercised warrants, have a four-month statutory hold period from issuance.

What fees is Star Navigation paying for the private placement?

Star Navigation will pay finder's fees of 10% of the gross proceeds in cash.