Dangote's Mega IPO: Africa's Largest Share Sale Revolutionizes Investment

Aliko Dangote has launched Africa's largest share sale through the IPO of his oil refinery, offering 4.1 billion shares. If fully subscribed, the sale could raise up to $2.1 billion. The refinery has reshaped Nigeria's fuel market, benefiting from global disruptions, and is valued at $47 billion.

On Monday, Nigerian billionaire Aliko Dangote initiated Africa's biggest share sale by opening the initial public offering (IPO) for his oil refinery. This significant event allows retail investors to own part of the plant, generating funds for its expansion. With 4.1 billion ordinary shares priced at 525 naira each, the sale opened at 0800 local time and will close on October 13.

If the IPO is fully subscribed, it will raise 2.15 trillion naira ($1.6 billion), potentially climbing to approximately $2.1 billion if the offer is oversubscribed and a greenshoe option is exercised to issue more shares. Chris Chijioke, a Lagos-based business owner, expressed interest in buying 2,000 shares, citing the refinery's scale and Dangote's successful business history.

Constructed at around $20 billion, the refinery has transformed Nigeria's fuel market since starting operations in 2024. Amid supply disruptions due to conflict in Iran, the refinery has financially thrived, supplying gasoline domestically and jet fuel across Africa and Europe. Dangote, Africa's richest man, has marketed the IPO to everyday Nigerians, allowing them to buy shares through digital platforms.