Dangote Refinery Sets Monday IPO, Targets $50bn Valuation

• ₦2.15trn Fundraising Target: Dangote Petroleum Refinery is offering 4.1 billion ordinary shares at ₦525 each, potentially raising about ₦2.15 trillion if fully subscribed.

• $50bn Valuation: Founder Aliko Dangote is targeting a valuation of about $50 billion for the 650,000 barrels-per-day refinery, with plans to sell up to a 10 percent stake.

• SEC Approval: The Securities and Exchange Commission has approved the refinery’s IPO and registered its existing 120.13 billion ordinary shares, paving the way for the next stage of the offering.

September 07, () — The world’s largest single-train oil refinery, Dangote Petroleum Refinery and Petrochemicals FZE, is set to take a major step towards becoming a publicly traded company as it holds the signing ceremony for its Initial Public Offering (IPO) on Monday, September 7.

gathered that the ceremony is scheduled for 11 am at Eko Hotels, Lagos, following the approval of the proposed offering by the Securities and Exchange Commission (SEC).

The IPO could become one of the largest capital market transactions in Nigeria, with the refinery offering 4.1 billion ordinary shares at ₦525 per share. If fully subscribed, the offer is expected to raise approximately ₦2.15 trillion.

The SEC approval, conveyed in a letter to the Lead Issuing House, Vetiva Advisory Services Limited, clears the way for the refinery to proceed with its Completion Board Meeting and Signing Ceremony.

The letter was signed by the Director of the Securities and Investment Services Department of the SEC, Abdulkadir Abbas.

$50bn Valuation

The founder of the Dangote Group and Africa’s richest person, Aliko Dangote, is targeting a valuation of about $50 billion for the 650,000 barrels-per-day facility.

Under the proposed transaction, the company plans to sell up to a 10 percent stake, which could potentially raise around $5 billion based on the targeted valuation.

The company has, however, indicated that the projected valuation reflects its internal expectations and has declined to provide further details on the timing or structure of the transaction beyond the information already disclosed.

In addition to approving the proposed share offer, the SEC has registered the refinery’s existing 120.13 billion ordinary shares as part of the IPO process.

Fuel Supply Impact

Since commencing operations, the Dangote refinery has increasingly reshaped Nigeria’s petroleum supply chain, with its large-scale production expected to reduce the country’s dependence on imported refined petroleum products.

The facility, located in the Lekki Free Zone in Lagos, represents one of Nigeria’s biggest industrial investments and has been positioned as a key part of the country’s drive towards greater domestic refining capacity.

The proposed IPO will provide investors with an opportunity to acquire shares in the refinery as it moves towards public ownership and a listing on the Nigerian capital market.

The SEC’s approval marks a significant milestone in that process, with the signing ceremony expected to formally advance the offering and bring the company closer to becoming one of Nigeria’s most significant publicly traded industrial enterprises.