Dangote Petroleum Refinery is planning to price shares in its upcoming Initial Public Offering (IPO) at ₦525 each, positioning the company to raise approximately $1.5 billion in what could become Africa’s largest public offering.
The transaction terms, reported by Reuters from sources with direct knowledge of the private deal, indicate that Dangote Group intends to sell 4.1 billion shares. The order book is targeted to open on September 14, aligning with recent statements by founder Aliko Dangote that the offer would launch within 10 to 12 days. Dangote Refinery declined to comment on the proposed figures.
While the exact percentage stake represented by the 4.1 billion shares remains undisclosed, the deal features a 15 per cent greenshoe option. This over-allotment provision allows the refinery to issue additional shares if market demand surpasses the primary allocation, potentially pushing the total capital raised well beyond the initial $1.5 billion target.
The public raise follows significant pre-IPO momentum. The refinery recently secured $2.5 billion through a private placement alongside a $1 billion underwriting commitment from institutional investors.
Capital raised from the offering will support Dangote’s ambitious expansion strategy, which includes doubling the Lagos facility’s capacity from 650,000 barrels per day (bpd) to 1.4 million bpd.
The refinery’s current operations are already shifting macroeconomic dynamics:
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Domestic Growth: Nigeria’s refining sector surged 43.94 per cent year-on-year in Q2 2026, driven primarily by Dangote’s ramping production.
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Global Footprint: Nigerian seaborne refined petroleum exports to Europe jumped to 130,000 bpd in Q2 2026, a 767 per cent increase compared to 2023 levels.
The IPO serves as the centerpiece of a broader growth phase for the conglomerate, which also includes a planned $17 billion refining project in Kenya and a prospective London listing for Dangote Cement later this year.
