Follow Us on Google
President and Chief Executive Officer of Dangote Industries Limited, Aliko Dangote, has said the ongoing Initial Public Offering (IPO) of Dangote Petroleum Refinery is aimed at expanding the facility and giving more Africans an opportunity to own shares in the strategic asset.
Dangote, who spoke in an interview with Bloomberg Television, said the IPO was more than a fundraising exercise, describing it as part of the company’s long-term plan to promote industrialisation, wealth creation and economic development across Africa.
He said the public offering would allow individual and institutional investors to become shareholders in the refinery, which he described as a major industrial project capable of transforming Africa’s energy sector.
“For decades, Africa’s most strategic assets have been owned by a limited group of investors. Through this IPO, we are creating an opportunity for millions of Africans to become part-owners of a transformative business that is changing the energy landscape of the continent.
“It is about creating value, expanding prosperity, and building generational wealth for our people,” Dangote said.
He said the refinery was established as an African response to the continent’s long-standing energy challenges, adding that the Dangote Group remained focused on reducing dependence on imports, increasing local production and creating jobs.
Dangote disclosed that plans were underway to increase the refinery’s capacity from its current 700,000 barrels per day to 1.4 million barrels per day.
According to him, proceeds from the IPO will support the expansion programme, which is expected to further strengthen Africa’s capacity to meet its energy needs.
Other News
He also disclosed plans by Dangote Petroleum Refinery to seek a listing on the New York Stock Exchange after completing the next phase of its expansion.
Dangote said the proposed international listing would provide greater access to global capital and showcase Africa’s industrial potential to international investors. On investor interest in the refinery, he said strong demand recorded during the private placement reflected confidence in the project among domestic and international investors.
He said the company deliberately limited the amount raised through the private placement to create room for wider ownership of the refinery.
“Our objective has always been bigger than building a refinery. We want to create institutions that will outlive us, businesses that can compete globally, and opportunities that allow Africans to share in the wealth created on the continent. This IPO is another step towards achieving that vision,” he said.
Dangote also said Africa had the resources, human capital and market potential to compete with leading economies, stressing that industrialisation remained central to the continent’s economic development.
He identified refining, petrochemicals, cement, fertiliser and manufacturing as sectors capable of supporting job creation, reducing import dependence and strengthening African economies.
The Dangote Petroleum Refinery IPO has attracted attention from investors, policymakers and market participants, amid expectations that the offer could further deepen Nigeria’s capital market and expand local participation in the ownership of major industrial assets.
