Highfield Resources secures A$10m investment, ASX trading reinstated

Highfield Resources Limited (ASX:HFR) announced the reinstatement of its securities to quotation on October 14, 2025, following the release of an announcement regarding a capital raising. The company has secured A$10 million in financial support through new convertible notes from existing strategic shareholders, including EMR Capital Management Limited, Tectonic Investment Management, and another existing investor. These funds are intended to address administrative matters related to the Goyo permit, re-engage strategic partners for the Muga Potash Project, and provide working capital, with the aim of advancing the Project towards development.

The A$10 million investment will be in the form of secured convertible notes, with EMR Capital contributing A$2 million, Tectonic A$5 million, and another investor A$3 million. These New Convertible Notes bear an 18% p.a. interest rate, payable in kind, and have a maturity date 12 months from issuance. The conversion price will be the lower of A$0.06, a 25% discount to implied valuation from a change of control transaction, or a 10% discount to any future equity raising price (subject to an A$0.03 floor price). Shareholder approval is required for the issuance of the New Convertible Notes and the amendment of existing convertible notes to align terms.

The issuance of 1,020 unlisted convertible notes, each with a face value of A$10,000, is proposed for December 19, 2025. These notes are convertible into 170,000,000 fully paid ordinary shares. The company aims to use the initial A$5.15 million to cover working capital needs through to October 2026.