DANGOTE REFINERY APPROVES 32 CHANNELS FOR INVESTORS TO BUY SHARES

The Dangote Petroleum Refinery and Petrochemicals has approved 32 channels through which investors will be able to purchase shares in its upcoming initial public offering. The move is expected to make the historic share sale more accessible to Nigerians and other investors ahead of the opening of the offer on September 14.

The refinery plans to offer 4.1 billion ordinary shares at N525 per share, with the exercise expected to raise about N2.15 trillion if fully subscribed. The IPO, which has received approval from the Securities and Exchange Commission, is expected to become one of the largest share offerings ever recorded in Africa and will give investors an opportunity to own a stake in one of the continent’s biggest industrial projects.

The approval of multiple channels is aimed at making the subscription process easier for retail and institutional investors across the country. Investors will be able to participate through approved banks, stockbroking firms and other designated financial channels, allowing a wider range of Nigerians to take part in the offering rather than restricting access to a small group of major investors.

The refinery, which currently has a refining capacity of about 650,000 barrels per day and has reached higher production levels, is seeking fresh capital to support its expansion plans. The company intends to increase its capacity significantly, with the additional funds also expected to support other investments connected to its energy and refining operations.

The share offer is expected to attract considerable attention from investors as Dangote seeks to broaden ownership of the refinery across Nigeria and the wider African market. The company has also indicated its ambition to build the refinery into one of Africa’s largest companies, while the IPO is expected to further strengthen its ability to raise capital for future expansion. (Reuters)