Dangote refinery plans to price shares in its initial public offering at N525 per share, putting the landmark transaction among the highest-priced major equity offerings in Nigeria’s capital-market history.
According to Reuters, the company plans to offer 4.1 billion shares at N525 each. At that price, the offer would raise about N2.15 trillion, equivalent to approximately $1.5 billion at the current exchange rate.
The order book for the offer is scheduled to open on September 14, with a 15% greenshoe option available if the issue is oversubscribed.
Dangote Group is raising the funds to support plans to double the refinery’s capacity from 650,000 barrels per day to 1.4 million barrels per day. The Lagos-based facility reached its full nameplate capacity earlier this year.
The proposed IPO follows an earlier private placement that reportedly valued the refinery at about $40 billion and comes as Dangote seeks additional capital to expand its refining operations.
How it Compares to Other Major IPOs
The N525 price is particularly significant because it is substantially higher than the per-share prices attached to several of Nigeria’s best-known large-scale equity offerings.
At N525 per share, the Dangote Refinery offer would be priced well above the offer prices of Nigeria’s two most prominent recent genuine large-company IPOs.
Airtel Africa — N363 per share
Airtel Africa’s 2019 Nigerian listing is one of the country’s landmark public offerings. The company listed 3.76 billion ordinary shares on the Nigerian Stock Exchange at N363 per share.
Dangote Refinery’s proposed N525 price is therefore ₦162, or about 45%, higher than Airtel Africa’s IPO price.
MTN Nigeria — N169 per share
MTN Nigeria’s 2021 share offer was priced at ₦169 per share, giving retail investors access to one of the country’s largest telecommunications companies.
At N525, Dangote Refinery’s proposed offer price is N356, or about 211%, higher than MTN Nigeria’s IPO price.
The proposed Dangote Refinery IPO would therefore sit significantly above the per-share prices of Airtel Africa and MTN Nigeria, although the comparison is not a valuation comparison by itself.
Geregu Power — N100 listing price
Geregu Power listed at N100 per share in 2022 through a listing by introduction. It was therefore not a conventional IPO offer price comparable with the ₦525 Dangote Refinery offer.
Aradel Holdings — N702.69 listing reference price
Aradel entered the NGX through a listing by introduction in 2024 at a reference price of N702.69 per share, which is higher than Dangote Refinery’s proposed N525 IPO price.
