Axo Copper Announces Filing of Final Short Form Prospectus

Executive Summary

• Axo Copper filed a Final Short Form Prospectus for a bought‑deal public offering of units at $0.70 per unit, targeting gross proceeds of C$35 million.
• Each unit consists of one common share and half of a common‑share purchase warrant (full warrant allows purchase of one additional share at $1.00 for 18 months).
• The underwriters have an over‑allotment option to increase the raise by up to 15% (additional C$5.25 million), potentially bringing total proceeds to C$40.25 million; TSX Venture Exchange has conditionally approved listing of the new shares.

Key Details

• Offering Size: Aggregate gross proceeds of C$35,000,000 at an offered price of $0.70 per unit.
• Unit Composition: 1 common share + ½ warrant (full warrant = right to buy 1 common share at $1.00).
• Warrant Terms: Exercise price $1.00 per share; exercisable for 18 months after closing.
• Underwriters / Syndicate: Co‑lead underwriters and joint bookrunners – Desjardins Capital Markets and BMO Capital Markets; additional underwriter – Stifel Nicolaus Canada Inc.
• Over‑Allotment (Option): Up to 15% of the offering, exercisable up to 30 days post‑closing; if fully exercised adds C$5,250,000 gross proceeds, raising total potential proceeds to C$40,250,000.
• Closing Date: Expected on or about February 19, 2026.
• TSXV Listing: Conditionally approved pending customary conditions, including any over‑allotment exercise.
• Use of Proceeds (implied): Not detailed in release; typical for exploration financing – to fund drilling and development at La Huerta (copper) and San Antonio (gold) projects.
• Access to Prospectus: Available free of charge on SEDAR+; contact Desjardins ([email protected]) for copies.

Notable Quotes

• “We are pleased to announce the filing of our Final Short Form Prospectus and the successful execution of this financing, which will provide us with the capital needed to advance our high‑grade copper discovery at La Huerta and further develop San Antonio.” – Jonathan Egilo, President and CEO

Materiality Assessment: Material – Positive (significant capital raise for exploration activities).