The planned public listing of Dangote Petroleum Refinery has ignited intense investor interest across Nigeria and international markets, with the proposed Initial Public Offering (IPO) expected to raise as much as $2 billion and become the largest stock market listing in Africa’s history.
According to a Bloomberg report published on Thursday, institutional investors have already expressed interest amounting to nearly $2 billion ahead of the formal launch of the IPO, reflecting strong confidence in the refinery’s prospects and Nigeria’s capital market.
The offering, expected in September 2026, is projected to value the refinery at about $40 billion, although some market estimates place its worth at up to $50 billion.
Bloomberg described the planned listing as a “once-in-a-generation test of market depth,” noting that the scale of the offering has attracted interest from institutional investors, wealthy Nigerians and first-time retail investors seeking a stake in one of Africa’s most strategic industrial assets.
Dangote Petroleum Refinery plans to sell approximately 10 per cent of its equity through the IPO, which is expected to be listed on multiple African stock exchanges, including the Nigerian Exchange Limited (NGX).
Owned by Africa’s richest man, Aliko Dangote, the refinery has transformed Nigeria’s downstream petroleum sector since commencing operations in 2024.
Located in the Lekki Free Trade Zone, Lagos, the facility has reportedly increased production to about 700,000 barrels per day, making it one of the world’s largest single-train refineries and significantly reducing Nigeria’s dependence on imported refined petroleum products.
Bloomberg said the refinery has helped shift Nigeria from being a major importer of gasoline to becoming a net exporter of refined petroleum products to regional markets.
Despite strong investor appetite, the planned listing has attracted regulatory scrutiny.
The Securities and Exchange Commission (SEC) reportedly suspended marketing activities related to the IPO in June following concerns over aggressive promotional campaigns.
However, investor interest has remained robust, with institutional investors continuing to position themselves ahead of the expected listing.
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The refinery had earlier tested market appetite through a private placement, during which the company received about $2 billion in subscriptions despite seeking to raise only $1 billion, Dangote disclosed in an interview in May.
In response to Bloomberg’s enquiries, the company confirmed the strong level of investor interest but stated that discussions on the final structure of the IPO were still ongoing.
“We have successfully completed a number of domestic and international company introduction and market-sounding activities and have been encouraged by the level of interest received from both local and international investors,” the company said.
It added that the size, timing and final structure of the offering had yet to be concluded.
The report noted that Nigeria’s equities market has enjoyed improving investor sentiment, with the benchmark stock index gaining about 58 per cent in dollar terms this year, making it one of the world’s best-performing markets.
According to Bloomberg, the refinery also recorded earnings before interest, taxes, depreciation and amortisation (EBITDA) margins of about 23 per cent last year, placing it among the world’s most profitable refining operations.
Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele welcomed the planned listing, saying wider retail participation could deepen wealth creation and broaden investment opportunities for Nigerians.
“We can see the excitement already about the IPO, not only in Nigeria, but beyond Nigeria,” the minister said, adding that increased public participation could improve household wealth over time.
The planned IPO is expected to provide investors with a rare opportunity to own a stake in one of Africa’s largest industrial projects while setting a new benchmark for capital raising on the continent.
