By Abiodun Folarin
WorldStage– Dangote Petroleum Refinery has formally signed agreements for its planned Initial Public Offering (IPO), setting the stage for what could become Africa’s largest retail share offering, with Nigerians able to participate with as little as ₦5,250.
The IPO will introduce a retail-focused subscription structure designed to give more Nigerians access to ownership of the 650,000-barrel-per-day refinery, with investors able to subscribe for shares with as little as N5,250.
Under the offer, the refinery will place 4.1 billion ordinary shares at N525 each, targeting approximately N2.157 trillion, equivalent to about $1.6 billion.
Proceeds from the offer are expected to support the refinery’s growth capital expenditure and finance its continued expansion as it scales up operations.
A major feature of the transaction is its emphasis on widening participation in the Nigerian capital market by reducing the financial threshold for retail investors and leveraging digital channels to facilitate subscriptions.
Investors will be required to purchase a minimum of 10 shares, translating to an initial commitment of N5,250. Additional subscriptions will be made in multiples of 10 shares.
The structure is expected to deepen retail participation in the capital market while allowing Nigerians to take direct equity positions in one of the country’s largest industrial projects.
The formal execution of the IPO agreements signals the commencement of the final phase of preparations for the offer, which is positioned to set a new benchmark for equity mobilisation in Nigeria.
