The Initial Public Offering (IPO) for Dangote Petroleum Refinery and Petrochemicals has begun, offering Nigerians a significant opportunity to invest in a major business. Ladi Balogun, the Group Chief Executive of First City Monument Bank (FCMB), made this announcement at the Nigerian Exchange in Lagos as subscriptions for this high-profile offer opened.
The refinery is making available 4.1 billion ordinary shares priced at ₦525 each, with the total offer estimated at around ₦2.15 trillion if fully taken up. The IPO started on September 14 and will remain open until October 13.
Balogun emphasized that this initiative allows ordinary Nigerians to participate in a world-class business that may have been out of reach otherwise. “This is a great chance for every Nigerian to enjoy the rewards of investing in top-tier, large-scale companies,” he stated.
He further highlighted that the IPO showcases the growing capabilities of Nigeria’s capital market in attracting a diverse pool of investors. “The market is seeing a rise in participation from retail investors, high-net-worth individuals, and international investors, thanks to various investment platforms,” he added.
Balogun noted that individual investors can easily purchase shares via mobile apps and other digital channels. Meanwhile, institutional investors, like pension funds, and foreign investors are adding more depth and scale to the market.
The broad interest in the Dangote Refinery IPO reflects the ability of the Nigerian capital market to support reputable local businesses that need substantial capital for growth.
Balogun also pointed out that the refinery is designed to minimize exposure to typical economic and currency risks in Nigeria, indicating its robustness. “More companies like this are emerging in our market, which highlights the potential and positive direction of Nigeria’s economy,” he stated.
FCMB is actively involved in this IPO with three of its companies contributing to the process. FCMB Capital Markets is acting as a joint issuing house, CSL Stockbrokers is the stockbroker for the offer, and First City Monument Bank is serving as the receiving bank.
Investors can subscribe to the shares through various FCMB channels, including branches, business offices, and their mobile app. CSL Stockbrokers is available to assist retail investors in understanding the benefits and risks of their investments, while FCMB Capital Markets will guide high-net-worth individuals and qualified investors.
With a processing capacity of approximately 700,000 barrels of crude oil each day, the Dangote Refinery has plans in place to expand this capacity to around 1.4 million barrels daily, making it a crucial player in the industry.
