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The share issue on AIM, which formed part of a combined fundraising from the UK and Zimbabwe, raised more than the company's target due to robust investor enthusiasm for Caledonia's project plan.
European law firm Fieldfisher had advised Cenkos Securities, Liberum and Standard Bank in their capacities as joint-bookrunners on AIM-listed gold miner Caledonia Mining Corp.'s share placing raising approximately £8.7 million (US$10.6 million).
The amount raised was higher than anticipated due to strong investor support.
Earlier this month, Zimbabwe-focused Caledonia announced plans planned to raise a total of up to US$13 million via a share placing in London and the issue of share depositary receipts in Zimbabwe.
The Zimbabwe placing, which closed on 11 April, raised a further US$5.825 million on top of the London placing, however, taking the total amount raised to more than US$16.5 million.
The company plans to use the money to provide working capital to accelerate planned work at three new gold projects in Zimbabwe, to complement production from Caledonia's Blanket mine.
The Fieldfisher team advising Cenkos Securities, Liberum and Standard Bank was led by corporate partner Melanie Talbot assisted by solicitor Caitilín Hepworth.
Commenting on the closing of the fundraising, corporate partner Melanie Talbot said:
"This was an important fundraising for Caledonia Mining to advance its package of recently acquired assets and expand its project base.
"The success of the London share placing, coordinated by our longstanding clients Cenkos, Liberum and Standard Bank, topped up by a highly successful placing in Zimbabwe, both of which raised more than expected, indicates that good mining projects are raising money on AIM despite the wider economic uncertainty."