By Maryam Shuaibu
Dangote Petroleum Refinery is nearing the completion of a $2.5 billion private share sale as it prepares for what is expected to become Africa’s largest initial public offering (IPO), according to a Bloomberg report.
Bloomberg reported on Friday that the private placement involves the sale of a stake of up to six per cent in Dangote Petroleum Refinery & Petrochemicals, valuing the company at about $40 billion.
The fundraising is part of preparations for the refinery’s planned public listing, expected later this year.
The latest development follows earlier comments by President of the Dangote Group, Aliko Dangote, who disclosed in October 2025 that the refinery could offer up to 10 per cent of its shares to investors through an IPO, a transaction that analysts estimated could be worth about $5 billion.
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In May this year, Mr Dangote announced plans to raise about $2 billion through a private placement ahead of the public offering, although he noted at the time that the final amount to be allocated to investors could be lower.
“We’ll see what we can allocate to them,” he said while discussing the planned fundraising.
Otedola Backs Refinery
Also in May, Chairman of First HoldCo, Femi Otedola, announced plans to invest $100 million in the refinery through the private placement.
Speaking at the time, Mr Otedola described the investment as part of his long-standing relationship with Mr Dangote.
“From a personal note, I’ve appealed to him (Aliko Dangote). I’ve been here with him 25 times, so my compensation is he’s going to allocate to me shares worth $100 million in the private placement,” he said.
His proposed investment forms part of the broader private fundraising exercise ahead of the refinery’s expected stock market debut.
If completed, the IPO would rank among the largest ever undertaken in Africa and mark another major milestone for the 650,000-barrels-per-day refinery, which has continued to expand its operations since commencing fuel production.