South Africa's Shaft Sinkers Holdings raised £30,6-million in a share placement, ahead of a listing on the London Stock Exchange on Thursday.
Shares in the company were up 8%, at 134p apiece, by 13:07 in London.
Shaft Sinkers placed about 24,7-million new ordinary shares, at 124p each, to give the company a market capitalisation of £58,9-million on listing.
The firm is seeking to move into new sectors and regions, CEO Alon Davidov said.
“The listing will allow us to build on our strengths and expand into new industries and geographies requiring our expertise, particularly the CIS (Commonwealth of Independent States) and India," he said.
The company will use most of the funds raised in the share placement to buy out stakes held by minority shareholders and the rest will go towards reconditioning winders and to fund expected future capital expenditure and working capital requirements.
Shaft Sinkers specialises in the sinking of particularly deep and/or wide vertical shafts, decline shafts and the development of other underground infrastructure such as pump house stations.
The group is currently working on seven of the nine vertical shafts deeper than 350 metres being sunk in South Africa, and is working on a total of fourteen projects for customers including Impala Platinum in South Africa, EuroChem in Russia, and Teesta Urja Limited in India.