Dangote Refinery Completes $2.5bn Equity Raise in Africa’s Largest Private Placement

Dangote Petroleum Refinery and Petrochemicals has secured a landmark $2.5 billion through a private equity placement, marking Africa's largest publicly disclosed primary equity placement by value. The company reported that the offer attracted subscriptions 3.7 times its initial size, signaling strong investor confidence.

This transaction represents the refinery's first equity capital raise involving external investors beyond its existing shareholder base. The funds are earmarked to support the ongoing expansion of its refining and petrochemical operations, bolster the company's capital structure, and provide greater financial flexibility for future growth initiatives.

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This is a strategic step to deepen and further institutionalise the Enterprise’s shareholder base, while raising capital to complement our internal cash flows and external funding, as DPRP advances its expansion agenda.

The offering saw significant participation from a diverse group of international and African institutional investors, sovereign-related investment vehicles, development finance institutions, and long-standing strategic partners. Notable investors included Africa Finance Corporation (AFC) and India Infra Buildco, an investment vehicle facilitated by the African Export-Import Bank (Afreximbank).

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This further demonstrates our profound commitment to developing domestic refining and petrochemical capacity, reducing Africa’s reliance on imported refined products and strengthening the continent’s energy security.

Aliko Dangote, President and Chief Executive of Dangote Industries Limited, described the placement as a strategic step to broaden the company's ownership structure and support its expansion agenda. He emphasized the commitment to developing domestic refining capacity, reducing Africa's reliance on imported products, and enhancing the continent's energy security.

David Bird, Managing Director and CEO of Dangote Petroleum Refinery and Petrochemicals, highlighted that the substantial investor interest reflects strong confidence in the company's operations and leadership. The capital raise is expected to play a crucial role in advancing the refinery's expansion plans and its contribution to the development of African capital markets.

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