Nigeria's Dangote refinery looks to raise $1.6 bn in IPO
The listing could raise 2.15 trillion naira and help the refinery double output to 1.4 million barrels a day, the company said.
- The Lagos-based Dangote Petroleum Refinery announced an initial public offering of 4.1 billion ordinary shares at 525 naira each, potentially raising $1.6 billion if fully subscribed.
- Aiming to double capacity to 1.4 million barrels a day, the refinery seeks to address Africa's heavy reliance on imported fuel; the continent currently imports more than 70 percent of its refined fuel annually, per the Africa Finance Corporation.
- Nigeria's Securities and Exchange Commission approved the IPO, describing it as potentially one of the "largest capital market transactions in Nigeria's history." The listing is expected on September 14.
- The refinery is planning a 700,000-barrel-per-day facility in Lamu, Kenya, with groundbreaking set for September 30, building on $2.5 billion in private investment secured in July.
- Founder Aliko Dangote, whose net worth is estimated at $31.5 billion by Forbes, aims to reduce "Africa's reliance on imported refined products" and strengthen the "continent's energy security" through the expansion.
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Nigeria's Dangote refinery looks to raise $1.6 bn in IPO
Lagos-based Dangote Petroleum Refinery is aiming to raise funds to double its capacity to 1.4 million barrels a day, which would make it the world's largest refinery, surpassing Jamnagar in India. When it goes public, the group will offer "4.1 billion ordinary shares at 525 naira each, which could raise approximately 2.15 trillion naira ($1.6 billion) if fully subscribed", the company said in a statement. The listing is expected on September 14,…
Dangote Refinery shares priced at ₦525 as SEC approves IPO
SEC approves Dangote Refinery’s Initial Public Offering, with shares priced at ₦525. Learn how this IPO could raise ₦2.15tn for Nigeria’s largest refinery. Read More: https://punchng.com/dangote-refinery-shares-priced-at-%e2%82%a6525-as-sec-approves-ipo/
Aliko Dangote prepares an IPO of approximately $1.5 billion for Africa’s largest refinery, after a private placement that valued the asset at about $40 billion. Resources would finance an expansion that would bring its capacity from 650,000 to 1.4 million barrels per day, although the project faces regulatory, exchange and operational risks.
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