Seven things to know about the Dangote refinery IPO

Nigeria's Dangote Group is planning to sell 4.1 billion shares in its oil refinery, aiming to raise 2.15 trillion naira ($1.6 billion) – a transaction that could make it Africa's largest initial public offering to date. The Dangote refinery, constructed over a decade at a cost of $20 billion, is the world's largest of its kind, with a capacity of 700,000 barrels of oil per day.

The company has been offering shares of the 700,000 barrels-per-day facility since last year as production increased after the plant's inception the previous year. The refinery is set to attain full capacity this year, with a valuation of approximately 63 trillion naira ($47.59 billion) if the deal is priced at 525 naira per share. The shares will be listed on Nigeria's main stock exchange.

Dangote Group's executives believe the valuation is justified, citing expanding demand for petroleum and fertiliser products across Africa and beyond, as well as the refinery's strategic location near crude supply. The company has already sold $2.5 billion worth of shares through a private placement in July, securing the participation of institutional investors like the Africa Finance Corporation.

Investors will be able to access the offering using digital channels such as mobile phones, with a minimum subscription set at 10 shares. The group intends to utilize the funds raised to finance expansion, including doubling the refinery's capacity to process 1.4 million barrels per day over the next three years, as well as increasing its ownership stake in the refinery and improving its ability to raise capital in the future.

The Dangote Group has highlighted the refinery's resilience in the face of geopolitical disruptions, such as the conflict in the Middle East, which has bolstered demand for its refined petroleum products in Africa and Europe. The refinery reported a net profit of $1.82 billion in the first half of this year on revenue exceeding $13 billion, marking a significant improvement from a loss of $476 million in all of 2025. Share subscriptions will remain open until October 13, with trading set to begin in late November.