HONG KONG and TORONTO, April 9, 2012 (GLOBE NEWSWIRE) -- Star8 Corporation (Pink Sheets:STRH), a provider of low cost mobile smart phones to emerging markets, is pleased to announce that it has executed a formal agreement that will provide the company with potential to achieve substantial revenue goals in the very near future.
The agreement with Stephen H.H. Kwan, Ben Leung and Cheung Sin Yan Rio and fellow investors in the Company (hereafter collectively, the "HLK Partners") will be focused on mobile phone sales and trading business in Asia.
As part of the agreement, Star8 has created Star8 Hong Kong, a wholly owned subsidiary that will be managed by HLK on a day-to-day basis.
The definitive agreement also provides for a cash infusion of US$1,000,000 in the form of a convertible debenture at a fixed price of $0.05.
On execution of the agreement, the partners received 20,000,000 shares of Star8 Corp and can earn an additional 60,000,000 shares during the first twelve months of the agreement based on reaching specific sales targets. More specifically, for each US$10,000,000 in revenue generated, HLK will receive 20,000,000 shares. HLK can earn additional shares beyond the 80,000,000 total shares if all targets are met after the twelve-month period.
"We are very excited commencing work with our new partners immediately," said William Car, President of Star8 Corp. "We have worked long and hard to put this venture together. Mr. Leung and Mr. Kwan have a strong and successful history in the mobile phone business, and we are looking forward building Star8 together."
"We are pleased to partner with Star8," said Mr. Ben Leung. "And we are looking forward to assisting Star8's growth over the near term and long term."
If targets are met during the initial twelve-month period, HLK may opt to continue to earn additional shares based on revenue targets. If targets are not met, HLK may opt out of the agreement, return unearned shares and dissolve the venture.
In conjunction with the agreement, Mr. Ben Leung, will join the Board of Directors of Star8 Corp, and Mr. Stephen H.H. Kwan will become Secretary of Star8 Corp.
The company plans to complete its 2011 audit promptly and file a Form 10 to become a fully reporting company.
For more information on Star8 and our products, please go to www.star8corp.com or www.axiom8.com
About Star8 Corporation
Star8 Corporation (Pink Sheets:STRH) is a global provider of low cost full-featured mobile email phones. The Company's focus is to provide a low cost alternative to the more expensive smart phones available in the market today. Star8 is strictly focused on emerging markets where the mobile operator subscriber base is predominantly prepaid. These markets do not provide their subscribers with a subsidy on phone purchases, which leaves a very small percentage of the subscriber base with the ability to afford the more costly smart phones.
Star8 is positioning itself to take advantage of the explosive growth in the Low Cost Mobile Messaging Handset market. Global shipments of mobile handsets are forecast to be close to 2 Billion in 2012.
Star8 is poised to take advantage of the tremendous growth in these markets and its products will be marketed to mobile users in South East Asia, Africa, and Latin America through existing relationships.
With management experience garnered on a global basis, Star8 has uncovered an opportunity to market a mobile handset in conjunction with a mobile email product in markets where the subscriber base in highly weighted by subscribers who are "prepaid."
Forward-Looking Statements
This document may contain forward-looking statements, relating to Star8 Corporation operations or to the environment in which it operates, which are based on Star8 Corporations operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, and/or are beyond Star8 Corporations control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. Consequently, readers should not place any undue reliance on such forward-looking statements. Star8 Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.