Dangote Refinery IPO Opens With ₦2.15tn Share Sale
The Dangote Refinery IPO opened in Nigeria on September 14, 2026, offering 4.1 billion shares at ₦525 each in a transaction targeting ₦2.15 trillion, or about $1.6 billion. The offer, which runs until October 13, is Africa's largest initial public offering and values the refinery at roughly $47.6 billion.
Dangote Refinery IPO opens at ₦525 per share
The share sale represents 3.3% of the Dangote Petroleum Refinery and Petrochemicals business. The shares are being offered to retail investors as well as institutional participants, with purchases available through digital platforms and a minimum subscription of 10 shares.
The IPO is scheduled to close on October 13, while trading in the shares is expected to begin in late November. The transaction is being positioned as a landmark public-market deal for Nigeria and the wider African capital market.
How much is the Dangote refinery IPO raising?
The base offer comprises 4.1 billion shares priced at ₦525 each, producing gross proceeds of approximately ₦2.15 trillion. A greenshoe option could lift the total amount raised to about $2.1 billion if demand exceeds the initial offer.
The public offering follows a $2.5 billion private placement completed in July, which attracted institutional investors, including Africa Finance Corporation. The earlier placement was 3.7 times oversubscribed, providing a recent indication of investor demand for the refinery's equity.
What will Dangote use the IPO proceeds for?
The refinery plans to use the proceeds to support a major expansion that would increase processing capacity from its current 700,000 barrels per day to 1.4 million barrels per day. The wider expansion programme is expected to cost about $14.3 billion and is targeted for completion by 2029.
The refinery has already become a major part of Nigeria's petroleum supply system since beginning operations in 2024. It now operates at full capacity and produces products including petrol, diesel, jet fuel and polypropylene by-products.
The company has also been increasing its crude purchases ahead of the public offering. Dangote secured at least 16 million barrels of Nigerian crude for October delivery, equivalent to roughly 520,000 barrels per day, as it increases refinery utilization.
Why is the Dangote refinery IPO significant?
The transaction gives Nigerian retail investors an opportunity to acquire a stake in one of the country's most strategically significant industrial assets. The refinery was built at a cost of about $20 billion and has reshaped Nigeria's fuel market since operations began.
The refinery's financial performance has also improved sharply. The business recorded a net profit of $1.82 billion in the first half of 2026, compared with a $476 million loss for the whole of 2025, as strong demand for refined products supported earnings.
That performance comes as international fuel markets face disruption linked to the conflict affecting Middle Eastern energy infrastructure. Demand for the refinery's jet fuel has increased amid supply disruptions associated with the Iran war.
What happens after the Dangote IPO closes?
The IPO window is scheduled to remain open until October 13, after which the allocation and listing process will determine when investors can begin trading the shares on the Nigerian Exchange. Trading is expected to commence in late November.
The larger question is whether the capital raised can help Dangote execute its planned capacity expansion while maintaining profitability in an increasingly competitive global refining market. The company expects the expansion to double its capacity by 2029, potentially making the refinery comparable with the world's largest refining facilities.
For Nigeria's capital market, the IPO also represents a major test of retail investor participation in a large industrial company. Its outcome could influence how other major Nigerian businesses assess public listings as a source of long-term expansion capital.
