By Our Reporter
Dangote Petroleum Refinery and Petrochemicals has extended its initial public offering (IPO) by two weeks to October 27, following strong investor demand and efforts to attract more shareholders across Africa.
The extension, approved by the Securities and Exchange Commission (SEC), moves the closing date from October 13, the original deadline for the share sale launched on September 14. The company said the additional time would allow prospective investors to complete account-opening, identity-verification, and other regulatory requirements while expanding access to the offer across African markets.
The IPO involves 4.1 billion ordinary shares priced at N525 each, with a minimum subscription of 10 shares costing N5,250. The offer is valued at approximately N2.15 trillion, equivalent to $1.6 billion, making it one of Africa’s largest public share offerings. The company is targeting up to 10 million investors, with the proceeds intended to support its planned expansion.
President of Dangote Group, Aliko Dangote, said on Monday that subscriptions had exceeded the amount initially targeted by three to four times, although the company had not disclosed the final subscription figures. He said the extension was intended to widen participation rather than raise additional funds. “The IPO is going very well. We will extend the closing date because we want more of our African brothers and sisters to participate,” he said.
The company is also seeking to expand participation beyond Nigeria, including through initiatives to improve access for investors in East Africa and other markets. Nearly 20 per cent of the offering has been earmarked for East African investors, according to reports, although cross-border participation faces regulatory and distribution challenges. The refinery said the extension would support wider distribution channels and depositary receipt programmes to facilitate investment across national borders
Built at a cost of about $20 billion, the refinery currently has a processing capacity of 700,000 barrels per day. It plans to invest approximately $14.3 billion to increase capacity to 1.4 million barrels per day, with completion targeted for 2029, according to reports on its expansion plans. The project is expected to strengthen its position in domestic and international petroleum markets.
The refinery has become a major supplier of refined petroleum products in Nigeria, helping reduce the country’s dependence on imported fuel while opening opportunities for exports to regional and international markets. Its IPO is also expected to broaden public participation in a major industrial asset. However, the success of the cross-border share sale will depend on whether the company can overcome regulatory hurdles and make the offer accessible to investors across the continent.