By Radarr Africa Business Desk
October 26 (Radarr Africa) – The subscription window for the Dangote Petroleum Refinery initial public offering (IPO) closes on Tuesday, October 27, after the Securities and Exchange Commission (SEC) approved a two-week extension, BusinessDay and Nairametrics reported.
The company is offering 4.1 billion new shares at N525 each, seeking about N2.15 trillion. The minimum application is 10 shares, or N5,250 before charges. The offer opened on September 14 and was originally due to close on October 13.
Nairametrics reported on October 12 that the extension was meant to widen access across African markets, including through additional distribution channels and depositary receipt programmes. It was also meant to give investors time to finish account opening and identity verification.
David Bird, managing director and chief executive of Dangote Petroleum Refinery and Petrochemicals, said: “We welcome the SEC’s approval of the extension.” BusinessDay attributed the same line to the Dangote Group.
Under the revised timetable published by the company, returns will be collated on November 3, and the basis of allotment will be submitted to the SEC on November 10. The SEC’s no-objection is expected on November 17. Trading and credit of shares to investors’ CSCS accounts is due 15 business days after allotment, subject to adjustment, Nairametrics reported. Refunds for rejected or surplus applications are due within five business days of allotment.
BusinessDay calculated that, at N525 and about 124.23 billion post-offer shares, the company would have an implied equity value of about N65.2 trillion, before any over-allotment shares. The newspaper stressed that this is company value and not new cash flowing into the Nigerian Exchange (NGX).
According to Nairametrics, shares are being distributed through about 55 digital channels, including 20 banks, two mobile money operators, the NGX Invest platform and 32 fintechs, with a goal of reaching 10 million investors. The outlet said it had separately reported a record one million unique retail subscribers, led by Bamboo and Moniepoint. That figure is Nairametrics’ own reporting and not a company statement.
Aliko Dangote, president and chief executive of Dangote Industries Limited, called the offer a “People’s IPO”, BusinessDay reported. He said it gives Nigerians and other Africans a chance to share in the company’s growth.
Temi Popoola, chief executive of NGX Group, told Reuters on October 22 that the offer should “make that three to five times the number of active investors” on the exchange. Umaru Kwairanga, NGX chairman, told BusinessDay that retail investors could exceed 10 million. BusinessDay noted that both figures are projections and that applicants and new accounts do not necessarily become active traders.
NGX data cited by BusinessDay show how concentrated participation has been. From January to August 2026, domestic investors accounted for 89.77 per cent of equity transactions, worth N11.89 trillion, and foreign investors for 10.23 per cent, worth N1.35 trillion. In August alone, domestic investors made up about 95.11 per cent, with institutions at about 54.21 per cent and retail investors at about 45.79 per cent.
BusinessDay cited past listings to illustrate the limits of a large name arriving on the exchange. MTN Nigeria listed by introduction in 2019 without raising fresh capital, and its market capitalisation rose 10.55 per cent that year while the NGX All-Share Index fell 14.60 per cent.
Emeka Soludo, an advisory analyst at Leonine Investment, identified valuation, commodity cycles, liquidity, concentration, execution and governance as the main risks. BusinessDay also noted that part of the N2.15 trillion could come from money moved out of existing NGX stocks rather than from new savings.
Reuters reported that proceeds will support expansion and general corporate purposes, BusinessDay said.
