The ₦2.15 trillion ($1.6 billion) offer, the largest share sale in African history, closed on Tuesday, 27 October 2026, after a two-week extension. Final results have not been published, but sources told Reuters that Nigerian orders alone reached about ₦6.4 trillion ($4.78 billion).
| 120
Countries from which applications were received, including all 54 in Africa |
~₦6.4tn
Reported Nigerian orders ($4.78bn), about three times the base offer |
3.3%
Share of the enlarged company offered to the public |
The initial public offering of Dangote Petroleum Refinery and Petrochemicals FZE closed on Tuesday, 27 October 2026. The offer opened on 14 September and was originally due to close on 13 October before the Securities and Exchange Commission (SEC) approved a two-week extension to widen participation across Africa. The company said applications came from investors in 120 countries, including all 54 African countries and five other continents. “This is a historic achievement for Africa,” Aliko Dangote said in a statement late on Tuesday, adding that applications “spanning 120 countries demonstrate the extraordinary international interest” in the business.
The company did not disclose the amount raised. Two sources told Reuters that the offer drew about three times its targeted orders, and one said orders from Nigerian retail and institutional investors totalled about ₦6.4 trillion ($4.78 billion at ₦1,337.59 to the dollar), with more than 2 million investors subscribing through digital channels. The order book was expected to grow once applications from other African markets were counted. Dangote was expected to exercise an option to allot up to 30% more shares, subject to SEC approval, which would lift the offer to as much as $2.1 billion. A company spokesperson declined to comment on demand or the greenshoe.
Offer terms
The offer comprised up to 4.1 billion new ordinary shares at ₦525 each, with a minimum subscription of 10 shares (₦5,250). With 120.13 billion existing shares, the enlarged share capital will be about 124.23 billion shares, so the offer represents about 3.3% of the company and implies an equity value of about ₦65.2 trillion, or roughly $49 billion, at the offer price. The offer is not underwritten. Vetiva Advisory Services is the lead issuing house, and Coronation is among the joint issuing houses. A separate private placement of 7,148,146,671 shares is subject to a 365-day lock-up and is excluded from the tradable float at listing.
Gross proceeds at the base size are ₦2.1525 trillion. After estimated costs of ₦41.49 billion, net proceeds of about ₦2.111 trillion are allocated to utilities and infrastructure (₦841 billion, 39.8%), refinery equipment (₦686.5 billion, 32.5%) and construction and installation (₦583.5 billion, 27.6%). The proceeds will part-fund a $14.3 billion programme to expand the Lekki refinery from about 700,000 to 1.4 million barrels per day by 2029, with the balance to come from future profits and other financing.
KEY NUMBERS The offer at a glance
| Offer price | ₦525 per share; minimum 10 shares (₦5,250) |
| Shares offered | 4.1 billion new shares, plus up to 30% more if the greenshoe is exercised |
| Share capital after offer | About 124.23 billion shares (120.13 billion existing) |
| Public float | About 3.3%; 7.15 billion placement shares locked up for 365 days |
| Implied equity value | About ₦65.2 trillion (about $49 billion) |
| Proceeds | ₦2.1525 trillion gross; about ₦2.111 trillion net of ₦41.49 billion costs |
| Offer period | 14 September to 27 October 2026 (extended from 13 October) |
| Next steps | Returns collated by 3 November; SEC no-objection to allotment expected around 17 November; listing on the Nigerian Exchange planned for later in November |
Share counts and proceeds from the prospectus as reported by Technext and Nairametrics; timetable from offer documents reported by TokenPost and Reuters.
Allotment and listing
According to the revised timetable, returns will be collated by 3 November and the SEC’s no-objection to the basis of allotment is expected around 17 November. Reuters reported that allocation begins next week and that the shares are planned to list on the Nigerian Exchange (NGX) later in November. The company has cautioned that payment receipts do not establish how many shares an applicant will receive.
Investors outside Nigeria could take part through depositary receipts. Kenya’s Capital Markets Authority approved a global depositary receipt arrangement on 5 October covering Kenya and Uganda, targeting about $300.4 million through roughly 729 million receipts. A depositary receipt programme of about $500 million is planned in Botswana, the company has approached the Egyptian Exchange, and Ethiopia’s regulator approved an offering to up to 100 qualified investors.
Financial performance
The refinery reported unaudited results for the nine months to 30 September 2026 on 13 October. Revenue rose to $22.48 billion from $9.19 billion a year earlier, EBITDA to $5.52 billion from $627.6 million, and net profit to $4.73 billion from a loss of $117.2 million. Operating cash flow was $3.68 billion, cash stood at $6.69 billion at the end of September, and the company moved to a net cash position of $650.8 million from net debt of $1.73 billion a year earlier. The prospectus showed secured borrowings of about $5.67 billion at 30 June 2026. Gross refining margins averaged $24.50 per barrel in the first half of 2026, against $13.70 in 2025, and officials said on Monday, 26 October, that the plant had reached its 650,000 barrel-per-day nameplate capacity and ran above it in September.
CHART Offer size against reported demand (US$ billion)
Source: Offer documents; Reuters, citing sources (27 to 28 Oct 2026). Reported orders cover Nigerian investors only and are not official subscription results.
CHART Nine-month results, 2025 against 2026 (US$ billion)
Source: Dangote Petroleum Refinery unaudited results, via Reuters (13 Oct 2026).
Analysis
Allotment is the next test. With demand of about three times the offer, most applicants will receive fewer shares than they paid for, and refunds will follow. How the basis of allotment treats more than 2 million retail applicants relative to institutions will determine whether the “People’s IPO” lives up to its name, and how smoothly refunds are processed will affect confidence among first-time investors.
The valuation depends heavily on which earnings period is used. Coronation, a joint issuing house, put the offer at about 13 times annualised first-half profit. Annualising the nine-month profit of $4.73 billion instead gives about 8 times (AER calculation), because third-quarter profit alone was about $2.9 billion. Both figures reflect war-related refining margins: the first-half margin of $24.50 per barrel was almost 80% above the 2025 average. On normalised margins the multiple would be considerably higher, so investors are paying partly for the expansion to 1.4 million barrels per day and for the group’s regional distribution strategy.
Liquidity will be thin relative to the company’s size. A 3.3% public float on a company worth about $49 billion, with a further 7.15 billion placement shares locked up for a year, means a small tradable supply facing large unfilled demand. That may support early trading but also increases volatility, and index inclusion is not automatic because index providers weigh free float and trading history.
Governance questions will grow with the group. Ownership is concentrated in Dangote Industries; NNPC’s stake was cut to 7.2% in 2024 over unpaid instalments. In the past week the group has confirmed a 24.76% stake in Kenya Pipeline Company and a $50 billion African investment plan, without saying which entity holds the Kenyan shares. The prospectus also lists 14 pending lawsuits. Minority shareholders will want clear rules on related-party transactions with the wider group, and any dividends in dollars require further approvals.
Beyond the company, the offer is a proof of concept for African capital markets. The Nigerian Exchange’s chief executive, Temi Popoola, said it could increase the number of active Nigerian investors by three to five times. Depositary receipts linking Lagos with Nairobi, Kampala and other exchanges, and subscription by mobile phone, give state oil companies such as NNPC and Sonangol, both of which have discussed listings, a template to follow.
Investor Outlook
- Subscribers: Expect scaled-back allotments and refunds in November. Short-term trading is likely to reflect unfilled demand and a small float; medium-term value depends on margins normalising and on delivery of the expansion.
- Before listing, watch: the basis of allotment, whether the 30% greenshoe is exercised, the confirmed listing date, and any statement on dividend policy.
- Valuation discipline: Test the investment case at 2025-type margins of about $14 per barrel, not 2026 war-time margins.
- Nigerian equities: A successful listing would add Africa’s newest large-cap stock to the NGX and could draw more foreign portfolio interest to Nigeria.
- Regional markets: Depositary receipt trading in Nairobi and other exchanges will test cross-border settlement and could become a model for future African listings.
Sources
Reuters, via CNBC Africa (28 Oct 2026, order book; 13 Oct 2026, nine-month results); allAfrica (28 Oct 2026); Serrari Group (28 Oct 2026).
Technext (prospectus details); Nairametrics, written by Coronation (9 Oct 2026); Nairametrics (22 Oct 2026, depositary receipts and NGX); TokenPost (offer timetable).
THISDAY (27 Oct 2026, nameplate capacity); Discovery Alert (refining margins); Offshore Technology (NNPC stake); Ecofin Agency (Kenya Pipeline stake).
Reported order figures come from unnamed sources and are not official subscription results. This article is provided for information purposes only and does not constitute investment advice.
