DiamondCorp (LON:DCP) raised the full £4mln from its placing on Thursday at a price of 6p per share.
The placing price concluded at an 18% discount to the price on Wednesday and the issue will now be completed in two tranches with the second tranche to follow a vote at the annual general meeting (AGM) on 7 January.
Directors Paul Loudon, Euan Worthington and Jonathan Willis-Richards together subscribed for 1.83mln shares.
The money has been earmarked to ramp up production at the Lace diamond mine in South Africa.
DiamondCorp’s plan now is to increase monthly production of higher grade kimberlite to 30,000 tonnes by next July after which it will become cash flow positive.
By 2018, it expects to be processing one million tonnes of kimberlite annually.