Key takeaways:
- Dangote’s refinery IPO will open within 10 to 12 days, aiming to raise about $5 billion
- The refinery reached full nameplate capacity of 650,000 barrels per day in February and has tested output at 700,000 bpd
- Dangote Cement’s secondary listing on the London Stock Exchange is expected in October
The initial public offering of Nigeria’s Dangote refinery, the largest on the continent, will open within the next 10 to 12 days, owner Aliko Dangote said Thursday.
Dangote made the disclosure while addressing investors and analysts in Botswana, during a visit to the southern African country.
“So our dream is that we want to make sure we double the capacity of the refinery… which will take us to 1.4 million barrels per day. The IPO will open in the next 10 to 12 days,” Dangote said.
The refinery is expected to seek to raise about $5 billion in what could become the continent’s largest IPO.
Dangote does not disclose refinery margins, but the refining industry has benefited from stronger profits as turmoil in the Middle East has boosted demand for alternative fuel supplies.
The 650,000-barrel-per-day refinery reached full nameplate capacity in February and has already tested output at 700,000 barrels per day.
A busy period for Dangote’s other ventures
Dangote also said the secondary listing of Dangote Cement, another flagship company in his industrial empire, on the London Stock Exchange would most likely take place in October.
The move could broaden the cement maker’s access to international investors and capital, adding a second major listing milestone to Dangote’s calendar within the same quarter as the refinery IPO.
Dangote is separately planning to build a new refinery on Kenya’s coast in partnership with East African governments.
The project, expected to take up to three years to complete, would supply refined petroleum products to Kenya and neighboring countries, helping reduce East Africa’s reliance on imported fuels. It would mark Dangote Group’s biggest refining investment outside Nigeria.
“We are launching it on September 30,” Dangote said.
The timing places three major corporate milestones, the Nigerian refinery IPO, the Dangote Cement London listing and the Kenya refinery launch, within weeks of each other, underscoring the pace at which Dangote is moving to expand and monetize his energy and industrial holdings across the continent.
