Highlights

  • Hot Chili closed AUD 40 million private placement at AUD 1.65 per share.
  • Costa Fuego copper-gold project funding to accelerate development plans.
  • Placement included participation from major existing shareholders.
  • 24,242,425 new shares issued to institutional investors

Hot Chili Limited (ASX:HCH) shares edged 0.88% lower to AUD 1.68 on 13 February 2026, remaining in the red during the session despite the confirmation that the company had completed its previously announced private placement. While the intraday movement was modest, the stock continues to reflect favourable longer-term performance, with gains of 121.71% over the past one year and approximately               163.38% over the past six months, keeping investor focus on its project advancement strategy.

AUD 40 Million Placement Finalised

Hot Chili confirmed it has closed a placement of 24,242,425 new fully paid ordinary shares at an offer price of AUD 1.65 per share, raising aggregate gross proceeds of approximately AUD 40 million.

The placement was conducted with institutional, professional and other sophisticated investors. Of the total proceeds, AUD 21.8 million was raised under Australian placement exemptions, while CAD 17.21 million, equivalent to approximately AUD 18.2 million, was raised under Canadian listed issuer financing exemptions.

The company paid a cash commission of 6.0% of gross proceeds to the agents and issued 1,212,121 unlisted broker options exercisable at AUD 2.145 per share, expiring 30 months from 12 February 2026.

Funding to Accelerate Costa Fuego Development

The proceeds are intended to support the advancement of the Costa Fuego copper-gold project in coastal Chile. The funding is expected to assist in integrating the La Verde discovery and progressing toward submission of an environmental impact assessment during the year.

The placement also saw participation from major existing shareholders, including Glencore, Blue Spec and GS Group. A total of 7,698,365 shares were issued under the company’s 15% placement capacity, with 17,756,181 shares issued under the additional 10% placement capacity pursuant to ASX listing rules.

Investor Takeaway

Although shares traded slightly lower following the announcement, the decline remained limited relative to the company’s broader share price trajectory. With capital now secured for project advancement, market attention is likely to remain centred on development milestones and regulatory progress at Costa Fuego.

FAQs

Why did Hot Chili shares decline on 13 February 2026?

Shares eased 0.88% to AUD 1.68 despite confirmation of the AUD 40 million private placement.

How much capital did Hot Chili raise in the placement?

The company raised approximately AUD 40 million through the issue of 24,242,425 new shares at AUD 1.65 per share.

What will the placement funds be used for?

Proceeds are intended to accelerate development activities at the Costa Fuego copper-gold project in Chile, including integration of La Verde and environmental permitting steps.