Dangote Refinery shares priced at ₦525 as SEC approves IPO

Dangote Refinery has received regulatory approval to offer 4.1 billion shares at ₦525 each in what could become one of Nigeria’s largest capital-market transactions. If fully subscribed, the initial public offering could raise about ₦2.15 trillion.

The Securities and Exchange Commission approved the IPO of Dangote Petroleum Refinery and Petrochemicals FZE and registered the company’s existing 120.13 billion ordinary shares. The approval clears the draft offer documents and allows the company to proceed with its Completion Board Meeting and signing ceremony.

The SEC conveyed its decision in a letter to Vetiva Advisory Services, the lead issuing house. The approval came shortly after Aliko Dangote said the IPO would open within 10 to 12 days. Dangote has said the offering is intended to broaden investment in the refinery.

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According to the Commission, the proposed offering comprises 4.1 billion ordinary shares at ₦525 per share, with the potential to raise approximately ₦2.15 trillion if fully subscribed.

The facility in Ibeju-Lekki, Lagos, currently has a capacity of 700,000 barrels per day. An expansion under way is expected to raise that capacity to 1.4 million barrels per day. The company also describes the refinery as having a self-sufficient marine facility, five single-point moorings and port infrastructure for Panamax vessels, liquid cargo and roll-on, roll-off operations.

The refinery’s storage network includes 177 tanks with a combined capacity of 4.742 billion litres, according to the Dangote Group statement. The company says its processing technology meets World Bank, U.S. Environmental Protection Agency, European emissions and Nigerian regulatory standards.

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The regulatory approval clears the refinery’s draft offer documents and authorises the company to proceed with its Completion Board Meeting and Signing Ceremony, marking a significant milestone in the IPO process.