Uganda has approved the participation of domestic investors in the initial public offering (IPO) of Nigeria’s Dangote Petroleum Refinery, expanding access to the $1.6 billion share sale across East Africa.
The Capital Markets Authority (CMA) Uganda approved the marketing and distribution of shares in the refinery on October 6, following an application submitted on behalf of the company by Stanbic IBTC Capital Limited.
The approval comes about a week before the IPO’s October 13 subscription deadline.
Access limited to professional investors
Uganda’s approval does not open the offer to the general public. Participation is restricted to professional investors and high-net-worth individuals, with marketing required to go through a CMA-licensed intermediary that has received written approval from the regulator.
The regulator also clarified that its approval does not amount to an endorsement of the investment. It has not assessed the commercial merits, financial viability or expected performance of the refinery.
The offer involves 4.1 billion shares priced at ₦525 each, with the company targeting about ₦2.15 trillion, equivalent to roughly $1.6 billion, if fully subscribed.
IPO targets refinery expansion
The share sale is intended to support the expansion of Dangote Refinery’s processing capacity from its current 700,000 barrels per day to 1.4 million barrels per day.
The refinery, located in Lagos, began commercial operations in 2024 and has since become a major supplier of refined petroleum products to Nigeria and international markets.
The planned IPO is being positioned as a major retail investment opportunity, with Dangote Refinery CEO David Bird saying the company hopes to attract as many as 10 million retail investors globally.
Growing East African participation
Uganda’s approval follows a similar move by Kenya, whose Capital Markets Authority approved a short-form prospectus allowing eligible Kenyan investors to participate through a global depository receipt (GDR) structure.
The growing participation of East African investors gives the Nigerian refinery a wider regional investor base and expands cross-border access to one of Africa’s largest industrial assets.
The IPO opened on September 14 and is scheduled to close on October 13, with the shares expected to be listed on the Nigerian Exchange.
As more African markets open their investment channels to the offer, the Dangote Refinery IPO is increasingly taking on a regional dimension, connecting investors across the continent to Nigeria’s growing refining and energy sector.
SEO Title: Uganda Opens Dangote Refinery IPO to Local Investors
Meta Description: Uganda has approved professional and high-net-worth investors to participate in Dangote Refinery’s $1.6bn IPO ahead of the October 13 deadline.
