Aliko Dangote, President of Dangote Industries Limited, has announced that domestic workers, traders, drivers, cooks, and managers will all be eligible to buy shares in the Dangote Petroleum Refinery and Petrochemicals when its Initial Public Offering (IPO) launches. The announcement came during the signing ceremony for the IPO's registration documents held in Lagos, where Dangote described the offer as an "IPO for the people," designed to give ordinary Nigerians and other Africans a direct stake in Africa's largest oil refinery.
IPO Details: Share Price and Minimum Investment
The offer price is set at N525 per share. An investor with N500,000 can purchase 952 shares, spending N499,800. The minimum subscription has been fixed at just 10 shares, which amounts to approximately N5,250. This low entry point ensures that participation does not require a large upfront commitment, according to Punch reports.
The full offer covers 4.1 billion ordinary shares and is expected to raise slightly above N2 trillion. The offer opens on September 14 and closes on October 13. The Securities and Exchange Commission (SEC) has already approved the IPO, clearing the way for Nigerians and other eligible investors to buy into the project.
Dangote's Vision and Expansion Plans
During the announcement, Dangote emphasized the inclusive nature of the offer: "What we are trying to do is to make sure the majority of all these my our drivers, our cooks, our servants, our managers, everybody, they will have an opportunity to have a stake in this refinery. We want every human being living on the continent to be part of this action."
Beyond share ownership, Dangote pointed to dollar-denominated dividends as a potential benefit for investors, saying such returns could help shareholders cover expenses outside Nigeria. He also stated that the IPO was intended to fund the refinery's planned expansion, noting that the group was pursuing investments in Ethiopia, Kenya, Tanzania, and Namibia.
Refinery Journey and Regulatory Approval
Dangote reflected on the journey from conception to public offer, noting that bankers backed the project even before a site was secured or a refinery licence obtained. The company spent three years and eight months at Olokola before eventually settling at the Lekki Free Zone. He credited former Lagos governors Babatunde Fashola and Akinwunmi Ambode, as well as current Governor Babajide Sanwo-Olu, for their roles in the project's development.
The SEC registered the refinery's existing 120.13 billion ordinary shares alongside the new offer. The IPO is scheduled to open on September 14 and close on October 13, with the potential to raise roughly N2.15 trillion if fully subscribed. This development marks a significant step in allowing ordinary Nigerians to own a stake in one of Africa's biggest industrial projects.
