Nigerian billionaire Aliko Dangote launched Africa’s biggest initial public offering on Monday, opening his mega oil refinery to public ownership with a target of raising $1.6 billion to expand processing capacity. The offering invites retail investors across the continent to purchase shares, marking a significant shift for the facility, which began operations in 2024 and recently started exporting fuel abroad.
## The IPO Structure and Early Subscriptions
The Dangote Petroleum Refinery opened the public offer on Monday, seeking to raise roughly $1.6 billion, or 2.15 trillion naira, through the sale of 4.1 billion ordinary shares priced at 525 naira each.
The structure is intentionally designed for small-scale buyers, allowing investors to purchase as few as 10 shares. Aliko Dangote stated in an official release that the listing represents “a new possibility for Nigeria, and for Africa.”
Early demand during the opening hours was swift. Umaru Kwairanga, chairman of the Nigerian Exchange Group, noted that over 10 billion naira had already been committed by investors shortly after trading commenced. Access Holdings chairman Aigboje Aig-Imoukhuede also highlighted the initial volume during a presentation at the Nigerian Exchange in Lagos, telling attendees that billions of naira had poured in within the first hour.
These early orders represented less than 0.5% of the total target, leaving the offer open until October 13, with shares expected to begin trading on the Nigerian Exchange in November.
## Scaling Toward Global Capacity
The newly raised capital is earmarked for a massive expansion project. The refinery aims to double its current processing capacity of 700,000 barrels per day to 1.4 million barrels per day by 2028, a timeline also noted as extending toward 2029 or 2030 with an estimated $14.3 billion investment.
Reaching that milestone would position the Lagos-based facility alongside India’s Jamnagar complex as one of the largest oil-refining operations in the world. Built for approximately $20 billion, the refinery has already reshaped petroleum trade flows in Nigeria by exceeding domestic demand and supplying international markets. The refinery posted a net profit of $1.82 billion during the first half of 2026, rebounding from a $476 million loss the previous year amid favorable global refining conditions.
Prior to launching the public share offering, the company secured $2.5 billion from institutional investors through a private placement led by the Africa Finance Corporation.
## Market Impact and Future Plans
If fully subscribed, the IPO will rank as the biggest in African history, substantially expanding the capitalization of the Nigerian Exchange, which stood at roughly $117 billion when trading opened on Monday. Market analysts and exchange executives anticipate that the listing will test retail confidence and establish a benchmark for how private African enterprises secure public capital.
Beyond the Lagos facility, Aliko Dangote has signaled broader ambitions for the energy sector, outlining plans to construct an additional 700,000 barrel-per-day refinery on the Kenyan coast in Lamu.
The public offering remains open to investors until October 13.
