The Securities and Exchange Commission (SEC) has warned investors against fraudsters and unapproved platforms seeking to collect money from the public for the Dangote Petroleum Refinery and Petrochemicals FZE initial public offering (IPO).

The warning came as the Dangote Refinery IPO opened on Monday, with the commission urging prospective investors to make applications and payments only through approved receiving agents, registered capital market operators and officially designated subscription channels.

The SEC said the strong public interest in the offer could create opportunities for fraudsters to target unsuspecting investors through fake websites, social media accounts, unsolicited messages and other unauthorised channels.

The commission specifically cautioned investors against dealing with individuals or entities claiming to have access to special or preferential allocations of the Dangote Refinery shares.

It said, “the existence of an individual, company, digital platform or social media account does not, by itself, constitute approval or authorisation to receive applications or funds from investors.”

The regulator advised prospective investors to obtain information about Dangote Petroleum Refinery and Petrochemicals FZE initial public offering (IPO) only from the SEC, the issuer and other official channels established and approved for the offer.

It also pointed out that investors should verify the authenticity of any website, platform or link before providing personal details, bank information or making payments.

According to the commission, investors should follow only the officially announced subscription process and IPO timetable and should not transfer funds to any person or organisation claiming to receive applications outside the approved channels.

The SEC further advised investors to confirm that the capital market operator, bank or investment platform through which they intend to subscribe is duly registered and authorised to participate in the offer.

The regulator also warned against responding to unsolicited calls, whatsApp messages, social media advertisements, emails and other online offers that promise guaranteed allotments or preferential treatment.

It urged investors to be particularly careful of persons who may use the popularity of the Dangote Refinery offer to create false investment opportunities or collect money under the name of the IPO.

In addition, the SEC also advised prospective investors to carefully read the approved prospectus before subscribing, saying they should understand the terms, conditions and risks associated with the investment.

The regulator advised that investors who require assistance should contact SEC-registered stockbrokers, banks or registered investment advisers for proper guidance rather than relying on information from unverified sources, while urging them   to take advantage of the offer only through legitimate channels and verify the status of any platform or person before committing their funds.