Dangote and his refinery...
Dangote Petroleum Refinery and Petrochemicals has officially launched its N2.15 trillion Initial Public Offering (IPO) on the Nigerian Exchange Ltd. (NGX), offering 4.1 billion new ordinary shares at N525 per share.
Speaking at the “Facts Behind the Offer” presentation and opening gong ceremony in Lagos, Alhaji Aliko Dangote, President and CEO of Dangote Industries Ltd., declared that the listing would democratise wealth creation by allowing ordinary citizens to own shares in one of Africa’s largest industrial assets.
The subscription, which requires a minimum purchase of 10 shares valued at N5,250, is scheduled to close on October 13.
“What initially belongs to a country begins, in a deeper sense, to belong to the people. Today is a historic day,” Dangote said.
He noted that the decision to list was driven by a desire to broaden ownership rather than a need for liquidity, following a private placement that raised $2.5 billion, exceeding its target and requiring the return of $1.2 billion to oversubscribed investors.
Key aspects of the offering and operational highlights include:
Dollar-Linked Returns: Broadened ownership offers investors an opportunity to earn dividends in U.S. dollars, providing a financial hedge for foreign obligations like overseas tuition fees.
Global Fuel Supplier: The 650,000-barrel-per-day capacity refinery in the Lekki Free Zone has become a major exporter of jet fuel to Europe, with its August and September output fully sold out.
Petrochemical Expansion: The company plans to expand downstream into producing polypropylene, polyethylene, and polystyrene, while exploring new continental ventures, including a proposed refinery in Lamu, Kenya.
Capital Market Scale: NGX Group Chairman Dr. Umar Kwairanga noted that the transaction demonstrates the capacity of African markets to connect domestic savings with large-scale industrial projects.
Access Holdings Chairman Aigboje Aig-Imoukhuede lauded the initiative, highlighting that investors subscribed billions of Naira within the first hour of opening.
Dangote expressed optimism that the operational growth and international revenue of the refinery could position it as Africa’s largest company by market value before the end of 2026. (NAN)
