The Securities and Exchange Commission (SEC) has approved the proposed Initial Public Offering (IPO) of Dangote Petroleum Refinery and Petrochemicals FZE, paving the way for the company to offer 4.1 billion ordinary shares at N525 per share.
The offer is expected to raise about N2.15 trillion if fully subscribed, making it one of the largest capital market transactions in Nigeria.
The approval was disclosed by the Dangote Group in a statement issued on Friday. The SEC also registered the company’s existing 120.13 billion ordinary shares as part of the IPO process.
The regulatory clearance covers the refinery’s draft offer documents and allows the company to proceed with its Completion Board Meeting and Signing Ceremony.
The SEC conveyed the approval in a letter addressed to the Lead Issuing House, Vetiva Advisory Services Limited, and signed by Abdulkadir Abbas, Director of the Securities and Investment Services Department.
The proposed share sale will provide investors with an opportunity to acquire equity in the Dangote Refinery as the facility moves toward becoming a publicly traded company.
Located in Ibeju-Lekki, Lagos State, the refinery currently has a production capacity of 700,000 barrels per day. An ongoing expansion is expected to double its capacity to 1.4 million barrels per day.
The refinery is supported by integrated marine and logistics infrastructure, including storage facilities comprising 177 tanks with a combined capacity of 4.742 billion litres.
The facility also has five Single Point Moorings and port infrastructure designed to handle Panamax vessels, liquid cargo shipments and roll-on/roll-off operations.
Dangote Industries had previously said the IPO was part of efforts to broaden investment in the refinery and strengthen its position as a major industrial asset.
