SOURCE: NavStar Technologies, Inc.

August 05, 2008 08:00 ET

NavStar Technologies, Inc. Announces Agreement to Acquire Argo Navigation, Inc.

NavStar Adds Commercial GPS Tracking Company to Supplement Consumer GPS Product Portfolio

OVERLAND PARK, KS--(Marketwire - August 5, 2008) - NavStar Technologies, Inc. (PINKSHEETS: NVST) announced an agreement to acquire Argo Navigation, Inc., a leading provider of GPS tracking equipment. Argo's total solution to asset tracking includes hardware, scalable user tracking software and network integration support. Argo is privately held and based in Anaheim, CA.

Argo's GPS tracking product portfolio along with the NavStar's Voice Navigator will provide an opportunity to sell products to customers in both the consumer and the commercial GPS markets. Argo has sales and distribution experience in the US, Brazil, Ecuador, Venezuela, Canada, Mexico, and China. By expanding the NavStar product line to include Argo's GPS tracking and associated services, it will open up new markets and will provide many synergetic product development opportunities for the merged company.

"Argo and NavStar have almost an identical approach to GPS product development. We both manufacture a small piece of hardware, both of us outsource manufacturing to an OEM in China, and we both transmit data from our hardware to a server and provide customers with a wide variety of software services. The opportunity for developing new feature-rich products and services is very exciting," said Douglas Pritt, President & CEO of NavStar Technologies, Inc. "Argo's product development experience and talented engineering team, when combined with NavStar's engineers, will result in one of the best GPS engineering teams in the industry. Argo products are proven in the market as they have generated over $4 million of revenue in the past several years. Revenue projections for the combined company for 2008 are $3 to $5 M."

"We are very pleased with this merger with NavStar and feel the business model and technology base that NavStar has developed will be exceptionally advantageous to Argo Navigation and its shareholders. We are all excited about our synergies between these two companies, and we are certain that we will be a strong player in fleet management, asset/people tracking and also in the navigation sector," said Mr. Jason Shin, President and CEO for Argo Navigation, Inc.

About NavStar Technologies, Inc.

NavStar Technologies, Inc. is focused on the creation of products and services that combine hands-free calling with GPS/navigation. Product features include the safety of hands-free calling and easy to use navigation via voice input and output, at a very affordable price point.

About Argo Navigation, Inc.

Argo Navigation, Inc. (Argo) is one of the Global Positioning System (GPS) industry's most advanced design and development companies for all GPS and wireless tracking products. As a total solutions provider, Argo is able to deliver hardware, user tracking software and network integration. For over three years Argo has designed, developed and sold its existing products both internationally and domestically.

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