Dangote Petroleum Refinery has unveiled an initial public offering worth about N2.15 trillion, with shares priced at N525 and a minimum subscription of 10 shares.
Dangote Petroleum Refinery and Petrochemicals has formally launched preparations for what is expected to become one of Africa’s largest-ever initial public offerings (IPO), seeking to raise approximately N2.15 trillion from investors.
The offering comprises 4.1 billion ordinary shares priced at N525 each, with investors able to subscribe for a minimum of 10 shares, equivalent to N5,250.
The IPO is designed to broaden ownership of the refinery while raising capital for a major expansion of the facility.
Dangote: IPO Is For The People
Speaking at the signing ceremony in Lagos on Monday, Dangote Industries Limited President and Chief Executive Officer Aliko Dangote described the offer as an opportunity for ordinary Nigerians and other Africans to own a stake in the refinery.
Dangote said the intention was to make ownership accessible to a broad section of society, including workers and other ordinary Nigerians.
The company is targeting around $1.6 billion from the offer, according to Reuters, with the IPO scheduled to run from September 14 to October 13, 2026.
Expansion Plans
The IPO is coming alongside an ambitious expansion plan.
Dangote Refinery currently has a processing capacity of about 700,000 barrels per day, while the company plans to increase capacity to approximately 1.4 million barrels per day by 2029.
The expansion is expected to require significant additional investment and infrastructure.
Reuters reported that the refinery has also attracted interest from Abu Dhabi National Oil Company (ADNOC), while Dangote has outlined further expansion ambitions outside Nigeria.
What Investors Need To Know
The Securities and Exchange Commission has approved the offering, which consists of 4.1 billion shares at N525 per share.
The refinery’s valuation has been estimated at roughly $47 billion based on the offer price.
The minimum subscription requirement of 10 shares means investors can participate with N5,250, subject to the terms of the offer.
The IPO is expected to significantly increase the size and depth of Nigeria’s capital market if the offer attracts the level of participation projected by the company.
A Major Test For Nigeria’s Capital Market
The Dangote Refinery IPO is significant not only because of its size but also because of the refinery’s strategic importance to Nigeria’s energy sector.
Since commencing operations, the facility has played an increasingly important role in domestic petroleum supply and Nigeria’s transition from a major importer of refined petroleum products.
The public offering will now test investor appetite for one of Africa’s most closely watched industrial projects.