Shares in CuDeco Ltd rose after the copper mining hopeful it said it had raised $20 million via a placement to a major institutional investor.
CuDeco shares were up 12 cents, or 5.77 per cent, at $2.20 at 1219 AEST after reaching an earlier high of $2.28.
The company did not identify the new institutional shareholder other than as a "sophisticated global investor" and said it had been issued 10 million new CuDeco shares at $2 per share, raising $20 million before costs and giving the institution a 6.84 per cent stake in CuDeco.
"The company's corporate adviser, Azure Capital Ltd, identified that CuDeco's share register is currently dominated by retail investors and that this has contributed in part to the recent volatility in its share price," CuDeco said in a statement on Thursday.
"Azure noted that addressing this imbalance by introducing a substantial institutional investor would assist in stabilising the company's share price."
CuDeco said the funds would go towards the development of its Rocklands copper project in Queensland.
The explorer disappointed the market on August 18 with an updated resource estimate for the project, near Cloncurry, that was well below expectations, sending its stock 49 per cent lower.