Star Navigation Announces Proposed Shares for Debt Transaction

• Date: 2026‑04‑06
• Event Type: Financing – Share‑for‑Debt Transaction
• Units Issued: 63,318,660 units at $0.05 per unit
• Total Debt Reduction: approximately $3,165,933 (units × price)
• Unit Composition: 1 common share + 1 warrant; each warrant exercisable for one additional share at $0.05 for five years from issuance
• Use of Proceeds: Working capital to advance development, sales and marketing of the Star‑A.D.S® system
• Statutory Hold Period: Four months on all securities issued (and any shares issued upon warrant exercise)

The April 6 announcement is a routine financing event. It follows a pattern of non‑brokered private placements at $0.01 per unit (Feb 2026 and Oct 2025) but occurs at a higher price ($0.05), indicating modest investor confidence while still dilutive. The transaction reduces outstanding debt by roughly $3.2 million and provides working capital for the core Star‑A.D.S business and the emerging Hydrotor renewable‑energy vertical, which aligns with prior strategic moves (board appointment of Gugni Gill‑Panaich on Mar 10 2026 and prototype testing with Aquagreen on Mar 9 2026). No new strategic investor such as Eric Sprott, the Lundin family, Pierre Lassonde or Michael Gentile is disclosed, and the deal does not introduce a breakthrough technology or materially alter the company’s growth trajectory beyond expected capital‑raising activity. Consequently, the news is routine‑positive: it improves liquidity and reduces leverage in line with prior expectations but does not constitute a game‑changing development.

Star Navigation Systems Group Ltd. provides the Star‑A.D.S® (Aircraft Data System) platform – a flight monitoring, diagnostics and security solution for aviation customers. The company is leveraging its analytics expertise to enter the renewable‑energy sector through a strategic partnership with Aquagreen Energy Systems Inc., developer of the Hydrotor magnetofluidic generator. Under this collaboration Star will supply an OEM‑standard monitoring and diagnostics prototype intended to become a standard module on Hydrotor units ranging from 25 kW to 1,000 kW, opening a new high‑volume vertical outside traditional aviation.