Refinery may increase shares on offer

President and Chief Executive of Dangote Industries Limited, Aliko Dangote, has reaffirmed his commitment to making the ongoing Initial Public Offering (IPO) of Dangote Petroleum Refinery and Petrochemicals a truly “People’s IPO”, assuring retail and small investors that they will receive priority allocation in the event of oversubscription.

He also indicated that he may offer additional shares in Refinery to the public if the ongoing IPO attracts more demand than the present offer could accommodate.

Dangote said the offer was deliberately structured to broaden ownership of one of Africa’s most strategic industrial assets and give millions of Nigerians an opportunity to participate directly in the refinery’s growth and future value creation.

Africa’s richest man stated that one of the core objectives of the offer was to build one of the largest shareholder communities in Africa, with a target of attracting not less than 10 million investors from Nigeria and across the continent.

On the IPO, Dangote said: “This is more than a capital-raising exercise. It is a historic opportunity to deepen financial inclusion, democratise wealth creation and enable ordinary Nigerians to become co-owners of a world-class industrial enterprise. From the beginning, our vision has been to create a genuine People’s IPO that allows millions of Nigerians to share directly in the success of this refinery.”

He emphasised that while the company welcomes participation from all categories of investors, allocation decisions in the event of oversubscription would be guided by the principle of broad-based ownership.

“If the offer is oversubscribed, retail and small investors will receive priority consideration. We are determined to ensure that ordinary Nigerians are not crowded out by large subscriptions,” he stated.

According to Dangote, prioritising retail investors is consistent with his long-held belief that economic development should go hand in hand with widespread citizen participation and ownership.

He added that the offer had been designed to be simple, transparent and technology-driven, with BVN-enabled subscription channels helping to remove traditional barriers that have historically limited participation in the capital market.

Expressing confidence in the success of the offer, Dangote said the IPO would not only deepen Nigeria’s capital market but also stand as a landmark example of inclusive wealth creation.

Dangote said he could make an additional 30 to 35 per cent of the company available to investors, following the strong response to the N2.15 trillion IPO, which opened on the Nigerian Exchange (NGX) on Monday.

The development came as investors rushed to subscribe to the refinery’s shares, with about N1.5 trillion committed within the first six hours of the offer opening, highlighting the scale of demand for the landmark transaction.

The base offer comprises 4.1 billion ordinary shares priced at N525 each, giving a total offer value of N2.152 trillion. The offer is scheduled to close on October 13, 2026.

Speaking on Arise News yesterday, Dangote said the strong investor response could encourage him to increase the level of public participation in the refinery, rather than limiting the offer to the shares presently on offer.

Operators noted that the proposed additional sale would further widen public ownership of the refinery and deepen the participation of Nigerian retail and institutional investors in one of Africa’s largest industrial assets if implemented.

However, they stated that proposed increase in public ownership remains dependent on the level of demand and the applicable regulatory and offer terms

Executive Director of Halo Capital Management Limited, Paul Uzum, said some high-net-worth investors were likely to adopt a cautious approach to the offer, with some expected to wait for about two to three weeks before making their investment decisions.

The stockbroker explained that this segment of investors would need time to assess the level of demand for the offer.

The refinery is being offered at N525 per share, with investors required to buy a minimum of 10 shares at N5,250. The offer is targeted at widening ownership by allowing ordinary Nigerians to participate in the ownership of the strategic energy asset.

The rush has also exposed the growing appetite among retail investors for large-scale investment opportunities, with some digital investment platforms reporting unusually heavy traffic as investors sought to subscribe to the offer.

The refinery posted a net profit of $1.82 billion in the first half of 2026, compared with a $476 million loss in the corresponding period of 2025, while revenue exceeded $13 billion.

This means that the IPO is coming when the refinery is showing stronger earnings and expanding its role in the international petroleum products market.

The development is an indication of the scale of investor interest in the refinery and could further increase the size and significance this biggest equity offerings in Nigeria’s history.