ONLINE PRINT STORY: Our client, Viraf Kapadia, CEO Of Star Navigation Systems Group Ltd was interviewed by Mergermarket, the leading provider of forward-looking M&A intelligence and data to M&A professionals and corporates
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Star Navigation Systems in talks with three targets,CEO says By Chris DeLuca inToronto
July 7,2014
Star Navigation Systems Group(CVE:SNA),a Toronto-based provider of in flight safety monitoring systems,is in ongoing discussions with three targets about a potential acquisition or joint venture, said CEO VirafKapadia.
The likelihood of Star Navigation making an acquisition in the next 12 months is very high,Kapadia said. In addition to its shortlist, Star Navigation looked at but did not pursue two other companies. The company still welcomes calls from bankers regarding prospective buys.
Attractive companies would be in the communications space and would be involved in health monitoring and tracking as well as air traffic control,Kapadia said,noting that Star Navigation is focused on targets in North America.
Acquisition targets would likely be in the CAD 15m-CAD 20m revenue range,he noted.Buys could be financed via share exchange, cash or convertible debentures, he added. Star Navigation, which has a market cap of CAD 22.24m, had cash and cash equivalents of CAD 405,000 as of the end of June 2013.
In February 2012, a Mergermarket report identified Star Navigation as a possible partner for Guardian Mobility. Asked if Star Navigation could find Guardian Mobility to be an attractive target, Kapadia declined to comment.
Stephane Momy, Guardian Mobility COO, told this news service that there have been discussions in the past with Star Navigation and it could make sense to partner with Star Navigation moving forward.
Star Navigation is focused on the development and marketing of an in-flight monitoring system which allows for data from the aircraft to be transmitted to the groundi n real time.
For the year that ended 30 June 2013, the company had CAD 115,000 revenue and incurred a net loss of CAD 2.9m. It has an accumulated deficit of CAD 41.6m.
The company has used Collins Barrow as its auditor in the past.