SEC
The Securities and Exchange Commission (SEC) has banned the marketing and promotion of an alleged Initial Public Offering (IPO) by Dangote Petroleum Refinery and Petrochemicals FZE.
The commission, in a public notice issued on Tuesday, said no application for such an offer had been filed with or approved by it.
SEC said it had become aware of advertisements, flyers, digital banners and targeted electronic mails circulating on social media platforms and investment channels concerning a purported securities offering by the refinery.
The commission expressed concern over the involvement of some registered Capital Market Operators (CMOs) in what it described as an unwholesome and manipulative exercise of actively soliciting advance subscriptions for an offering that had not been presented to it.
According to SEC, no application for the registration of an IPO or public offer of shares of the refinery has been filed with or approved by the commission.
It said the ongoing pre-marketing activities were capable of misleading investors, distorting market expectations and undermining the integrity of the capital market.
The commission said the marketing campaign and invitations to create accounts, pre-fund or secure guaranteed allocations amounted to market manipulation and constituted a serious violation of the Investments and Securities Act (ISA) 2025.
Consequently, SEC directed all registered CMOs, particularly stockbrokers and digital platform promoters, to immediately cease all promotional activities relating to the purported offer.
The commission ordered operators to stop publishing, reposting or distributing any promotional material, flyers or commentary relating to the acquisition or allocation of shares in the refinery.
It also directed them to remove all unauthorised marketing materials from websites, social media platforms and message groups within 24 hours.
SEC further instructed operators to desist from accepting deposits, commitments, account openings or expressions of interest from investors in connection with the purported public offering.
The commission also directed operators to reverse and refund all funds already collected from clients in relation to the alleged offering within 24 hours.
The commission advised investors to exercise caution and rely only on official pronouncements issued through its approved channels.
It urged the public to disregard high-pressure marketing tactics and requests for fund transfers linked to any purported pre-IPO placement, stressing that such activities had not received its approval.
SEC added that if it received and approved an application for a public offering by the refinery, an approved prospectus would be made available to investors in line with the provisions of the ISA 2025.
