Powerstar International Inc.

July 16, 2007 09:01 ET

Powerstar International Inc. Announces Closing of Private Placement Financing

CALGARY, ALBERTA--(Marketwire - July 16, 2007) - Powerstar International Inc. (TSX VENTURE:PWS) (Powerstar) is pleased to announce that it has completed its previously announced non-brokered private placement of 2,058,636 units at $0.55 per unit for gross proceeds of $1,132,250 (the "Offering"). Each unit consists of a common share of Powerstar and a warrant to purchase an additional common share of Powerstar for $1.00 until the earlier of two years from closing and the day which is 30 days after the common shares of Powerstar trade above $1.50 per share for 20 consecutive trading days.

About Powerstar International Inc.

Powerstar is a provider of digital signage/communications networks for consumers, businesses and the US government. Powerstar's provides services under its Solutrea brand and companies. The company provides public Wi-Fi networks, digital signage, corporate communications and Business Television over wireless, satellite and terrestrial platforms. Powerstar's shares trade on the TSX Venture Exchange under the symbol TSX VENTURE:PWS. For more information visit www.powerstarinternational.com.

Forward-looking Information

Certain statements in this release, other than statements of historical fact, may include forward-looking information that involves various risks and uncertainties. These may include, without limitation, statements based on current expectations involving a number of risks and uncertainties related to all aspects of the telecommunications and digital media industries and the global economy. These risks and uncertainties include, but are not restricted to: the short history of Powerstar International Inc. and its main subsidiary, Solutrea Inc., (the Company), the dependence of the business model on advertising whilst the Company has no advertising track record, that the Company may be required to raise additional capital to execute its business plan; that the Company will need to acquire or develop new services to continue to grow its business; that the Company requires investment to translate its vision into sustainable profit in the market; that the Company is dependent on the performance of its key officers and employees; that changes in regulatory environment could materially adversely affect the Company; and that the Company has and may make acquisitions of products, services, technologies or businesses which could materially adversely affect the Company. These risks and uncertainties may cause actual results to differ from information contained herein, when estimates and assumptions have been used to measure and report results. There can be no assurance that such forward-looking statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. These and all subsequent written and oral forward-looking statements are based on the estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice. The Company assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information