Dangote Refinery Set To Sign IPO Documents, Targets $50bn Valuation

Dangote Petroleum Refinery is set to sign documents for its Initial Public Offering (IPO) on Monday, September 7, as the world’s largest single-train oil refinery moves closer to becoming publicly traded.

The signing ceremony is expected to hold at 11am at Eko Hotels, Lagos, according to THISDAY.

The refinery, founded by Africa’s richest man, Aliko Dangote, is targeting a valuation of about $50 billion and plans to offer up to a 10 per cent stake, potentially raising approximately $5 billion in one of Nigeria’s largest capital market transactions.

The development follows the Securities and Exchange Commission’s (SEC) approval of the IPO, which involves 4.1 billion ordinary shares priced at N525 each. The offer could raise about N2.15 trillion if fully subscribed.

The SEC has also registered Dangote Refinery’s existing 120.13 billion ordinary shares and authorised the company to proceed with its Completion Board Meeting and signing ceremony.

The approval was communicated to the Lead Issuing House, Vetiva Advisory Services Limited, in a letter signed by the SEC’s Director of Securities and Investment Services, Abdulkadir Abbas.

Since commencing operations, the refinery has played a major role in Nigeria’s petroleum supply chain by reducing the country’s reliance on imported refined products.

The proposed IPO will give investors an opportunity to acquire shares in one of Africa’s largest industrial projects as Dangote Refinery advances towards public ownership.