SEC Approves Dangote Refinery IPO to Raise N2.15tn

The Securities and Exchange Commission (SEC) has approved the proposed Initial Public Offering (IPO) of Dangote Petroleum Refinery and Petrochemicals FZE, paving the way for the company to raise approximately N2.15 trillion from investors.

The proposed offer comprises 4.1 billion ordinary shares priced at N525 each. If fully subscribed, the transaction could rank among the largest capital market deals in Nigeria’s history.

The SEC conveyed the approval in a letter addressed to the Lead Issuing House, Vetiva Advisory Services Limited, and signed by the Director of the Securities and Investment Services Department, Abdulkadir Abbas.

The commission also registered the refinery’s existing 120.13 billion ordinary shares as part of the regulatory process.

With the approval, Dangote Refinery can proceed with its Completion Board Meeting and Signing Ceremony, marking a major step towards the completion of the IPO.

The public offering is expected to provide investors with an opportunity to acquire stakes in one of Africa’s largest industrial projects while potentially deepening participation in Nigeria’s capital market.

Located in Ibeju-Lekki, Lagos State, the Dangote Petroleum Refinery and Petrochemicals Complex occupies about 2,635 hectares. The refinery currently has a production capacity of 700,000 barrels per day, making it the world’s largest single-train refinery.

The complex also includes a polypropylene plant with an annual production capacity of 900,000 tonnes and is powered by a dedicated 435-megawatt power plant.

At full capacity, the refinery is designed to meet a significant portion of Nigeria’s demand for refined petroleum products while supplying international markets.

The facility is also undergoing expansion that is expected to increase its refining capacity to 1.4 million barrels per day, which would make it the world’s largest refinery by capacity.

The complex has extensive infrastructure, including a dedicated marine facility, five Single Point Moorings, multiple quays and a large storage network comprising 177 tanks with a combined capacity of 4.742 billion litres.

The SEC’s approval therefore marks a significant milestone in the refinery’s journey towards becoming a publicly traded company and could substantially widen investor participation in the landmark project.