KEY POINTS
- Dangote Refinery is offering 4.1 billion shares at N525 each.
- The minimum subscription is 10 shares, costing N5,250.
- The IPO aims to raise more than N2 trillion for refinery expansion and wider public ownership.
Aliko Dangote, President and Chief Executive Officer of the Dangote Group, has announced that Nigerians can subscribe to the proposed Initial Public Offering, IPO, of Dangote Petroleum Refinery and Petrochemicals FZE with as little as N5,250.
The minimum subscription represents 10 ordinary shares priced at N525 each, as the refinery moves to raise more than N2 trillion to finance its expansion and broaden public ownership of the massive industrial project.
Dangote disclosed the details on Monday at the official signing ceremony for the refinery’s IPO held at Eko Hotel and Suites in Victoria Island, Lagos.
Under the offer, the refinery is offering 4.1 billion ordinary shares at N525 per share. The shares have a nominal value of $0.000013 each.
At the offer price, the IPO is expected to raise slightly above N2 trillion if the entire offer is subscribed.
Dangote said the funds would primarily support the refinery’s expansion plans, while also allowing Nigerians from different income groups to acquire an ownership stake in the business.
‘IPO for the People’
The billionaire businessman described the offer as an opportunity for ordinary Nigerians to participate in the ownership of one of the country’s biggest industrial investments.
He said the minimum subscription was deliberately kept low to make the offer accessible to a broad range of Nigerians, including workers and lower-income earners.
Dangote said the IPO was designed for “drivers, our cooks, our servants, our managers, and everybody” who wants to become a shareholder in the refinery.
He added that investors could use their ownership in the company as part of their long-term savings and wealth-building plans.
The proposed capital raise comes as Dangote Refinery continues to expand its operations and increase its role in Nigeria’s petroleum products market.
According to Dangote, the money raised through the IPO will help finance further expansion of the refinery.
The public offer is also expected to increase Nigerian participation in the ownership of the facility, moving the refinery beyond being primarily associated with its founder and major private investors. The offer provides retail investors with an opportunity to acquire shares in the refinery without needing a large amount of capital.
With the minimum subscription set at 10 shares, an investor would need N5,250 to enter the offer at the stated price, excluding any applicable transaction charges.
The move could significantly widen participation in the refinery’s ownership if large numbers of Nigerians take up the offer.
Dangote described the initiative as “the IPO for the people”, signalling an attempt to make the landmark industrial asset accessible to a much wider pool of investors.
