Helio Corporation has reduced its total debt by roughly half since January 31, 2026, following the successful settlement of all previously defaulted Notes Payable and the repayment of Convertible Notes. The company has also strengthened its balance sheet through new equity investments, raising $946,800 from accredited retail investors. These actions have lowered monthly debt service obligations to approximately $30,000 and improved liquidity, positioning Helio to advance its commercialization strategy for Space-Based Solar Power (SBSP) platforms.

As disclosed in its April 30, 2026 quarterly report, Helio completed settlement agreements with all five holders of previously defaulted Notes Payable. Through these agreements, the company resolved all defaulted obligations and retired $879,236 of debt through conversion into equity. Subsequent to the second quarter financial report ending April 30, 2026, Helio repaid $309,952 in cash to satisfy three Convertible Notes, eliminating those legacy obligations from its balance sheet.

As a result of these restructuring initiatives, Helio's total outstanding debt has been reduced to less than $1.0 million, down from $3,421,445 as reported in the 10-K ending on October 31, 2025. The average interest rate on the company's remaining term debt stands at 9.75%. The strengthening financial position has been supported by continued investor participation, with more than 55 accredited retail investors investing $572,800 in common shares and an additional $374,000 raised through preferred shares.

The equity investments have improved Helio's shareholder equity position, reducing the deficit from approximately negative $1.9 million as reported in the April 30, 2026 second quarter financial results to less than negative $1.0 million. This represents a substantial improvement from approximately negative $3.89 million as of January 31, 2026, before the current management team began implementing its restructuring and recapitalization initiatives.

Helio is actively advancing regulatory and capital markets initiatives associated with its planned underwritten secondary offering and proposed national securities exchange listing. The company believes these efforts represent the final phase of the restructuring process initiated earlier this year. Commercialization opportunities for its SBSP platform are progressing, with recent additions to the customer pipeline including Poderosa, a major gold miner in Peru valued at roughly $2 billion, and Elisium, a net-zero luxury resort microcity under development in South Florida.

Helio's active contract pipeline now exceeds $12 million, with approximately two-thirds of those opportunities related to lunar programs. "Over the past several months, we've done the hard work of restructuring the balance sheet and addressing legacy obligations that were holding the Company back," said Ed Cabrera, Chairman and Chief Executive Officer of Helio Corporation. "With much of that work now behind us, we can devote more of our time and resources to executing our business plan."

Financial Restructuring Summary

Helio Corporation has entered into an agreement with Compañía Minera Poderosa S.A. to develop and deploy a pilot demonstration of its Space Based Solar Power technology at a gold mining operation in the La Libertad region of Peru. The partnership aims to generate critical performance, permitting, and economic data to advance the commercialization of Helio's space-based energy infrastructure. This initiative represents the company's second planned pilot deployment, creating a distinct industrial validation environment alongside its existing residential project.

Compañía Minera Poderosa S.A. is among Peru's leading gold mining companies, producing approximately 302,000 ounces of gold in 2022. The company employs more than 4,000 people, generates more than $1 billion in annual revenue, and maintains a market capitalization of approximately $3 billion. Poderosa trades on the Bolsa de Valores de Lima under the symbol PODERC1 and has established deep regional relationships through initiatives such as Asociación Pataz and Rurana, a social innovation center.

Helio believes Poderosa's established regional presence and infrastructure experience may facilitate a more efficient regulatory process. The collaboration is expected to accelerate certain development milestones by approximately nine months through streamlined permitting. This timeline could provide a pathway toward initial large-scale commercial deployment within approximately two years, subject to successful testing, regulatory approvals, financing, and the achievement of required milestones.

The planned deployment will evaluate Helio's technology in a demanding operating environment where reliable power is critical to industrial operations and surrounding communities. Helio and Poderosa will collaborate on site selection, engineering studies, prototype testing, and performance validation. The program is designed to assess system performance, wireless power transmission, operational economics, and long-term deployment potential across terrestrial, atmospheric, and orbital environments.

Edward Cabrera, Chief Executive Officer of Helio Corporation, emphasized the strategic value of the partnership. "Poderosa brings substantial energy demand, strong regional relationships, and a proven ability to execute major projects," said Cabrera. "What excites us most is that we are building a future customer base alongside development. If we execute successfully, every validation milestone has the potential to strengthen the economics, scalability, and long-term commercial opportunity for our platform."

Key Details of the Partnership

The Peru initiative complements Helio's first pilot with Elysium, a 4,000-home master-planned community in South Florida. Together, these projects establish two distinct validation environments—one residential and one industrial—allowing Helio to generate operational data across multiple real-world use cases. The company believes the Poderosa project could serve as a model for future applications across remote industrial operations and energy-constrained regions worldwide.