The Dangote Petroleum Refinery’s initial public offering has attracted orders worth about N6.4tn from Nigerian retail and institutional investors, roughly three times its fundraising target, as the share sale closes with applications from 120 countries.
The offer, which opened on September 14, was scheduled to close on October 13 but was extended to October 27 to allow more investors across Africa and other international markets to participate.
The refinery said applications came from all 54 African countries and five other continents, marking a broad geographical reach for the share sale.
A Reuters report on Tuesday, citing people familiar with the transaction, put the value of orders from Nigerian investors at about N6.4tn, equivalent to $4.78bn. More than two million investors had reportedly subscribed through digital channels.
The company had targeted approximately $1.6bn from the offer. It is expected to exercise a 30 per cent overallotment option, which could raise the total proceeds to about $2.1bn, although demand may still exceed the available shares.
The refinery offered 4.1 billion ordinary shares at N525 each, representing a proposed capital raise of approximately N2.15tn.
President and Chief Executive of Dangote Industries Limited, Aliko Dangote, described the response as a significant milestone for African investment, saying it demonstrated the willingness of investors across the continent to own stakes in major African businesses.
Managing Director and Chief Executive of Dangote Petroleum Refinery and Petrochemicals, David Bird, said applications from 120 countries reflected international confidence in the refinery’s scale and growth prospects.
The offer is also being viewed as a test of the ability of African capital markets to mobilise domestic and regional savings to finance large industrial projects.
The refinery, which began commercial operations in 2024, has a processing capacity of about 700,000 barrels per day. It plans to increase capacity to 1.4 million barrels per day by 2028 or 2029, according to different company and media reports.
The company has also expanded exports of refined petroleum products as Nigeria seeks to reduce its reliance on imported fuel and strengthen its position as a regional supplier.
Share allocation is expected to begin ahead of the refinery’s planned listing on the Nigerian Exchange in November. The final allocation will determine how many shares investors receive if applications exceed the number available.
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