The pricing is C$1.55 per share, equating to about A$1.70/share.

Hot Chili recently undertook a 50 to one consolidation and is in the process of listing on Canada's TSXV.

According to the company, proceeds from the placement are to be used to upgrade the Cortadera resource, advance the Costa Fuego preliminary feasibility study, test several high-priority exploration targets and for general corporate purposes.

Glencore emerged as Hot Chili's largest shareholder last quarter (with a 9.99% stake), following a A$40 million fundraising that priced shares at $1.60.

Part of that funding was used to make a final acquisition payment for Cortadera of US$15 million.

Shares in the Chile-focused Hot Chili were down 11.7% to A$1.77 in afternoon trade, capitalising the company at $155 million.