The Initial Public Offering of Dangote refinery IPO officially opened today,, offering 4.1 billion ordinary shares at N525 each.
Dangote Refinery said the IPO offer will close on October 13, with a minimum subscription of 10 shares at N5,250, according to the IPO terms.
If fully subscribed, IPO is expected to rake in N2.15 trillion for the expansion operations.
President of the Dangote Industries Limited (DIL),Aliko Dangote, was on hand to formally open the offer by sounding the gong at the Nigerian Exchange (NGX) in Lagos on Monday.
The IPO is open to retail, institutional, and eligible African investors, according to the offer terms.
Speaking at the event, Dangote described the offer as the “People’s IPO”, saying members of the public would have an opportunity to participate in the refinery’s ownership.
“We fully share all our prosperity with the people. That’s why we call this ‘People’s IPO’. We know the journey has actually just started. It’s not only about the refinery,” he said.
Dangote stated that the group’s market capitalisation should reach at least $350 billion by 2030, based on a 10-times price-to-earnings ratio.
“We, as a group, will list every single company that will operate. I don’t know about the others, but I know our own market cap, even at a 10 times P/E ratio by 2030, should not be less than $350 billion,” he said.
Dangote said the conglomerate had raised more funds than it needed to execute all its projects, with about $46 billion allocated for group-wide expansion.
“The Dangote Group has raised more than we need to execute all our projects. We have about $46 billion allocated for group-wide expansion to achieve our 2030 vision, and we remain on track,” he said.
He said the refinery would also list outside Africa within the next three to four years.
“From this exchange, then we can go to any other place,” the industrialist said.
Dangote said the Nigerian capital market would serve as the group’s base for future listings elsewhere.
