By Asiwaju Adekunle Saheed
Africa’s largest equity sale is officially in motion after the Securities and Exchange Commission cleared Aliko Dangote’s 650,000 barrel a day refinery for a landmark initial public offering targeting a $1.63 billion raise, valuing the facility at $47 billion.
Dangote Group plans to float 4.1 billion shares at ₦525, roughly 40 cents, each, aiming for a total raise of ₦2.15 trillion, with a 15 percent overallotment option available if demand surges, already backed by a $400 million underwriting commitment.
The listing represents a major liquidity test for regional capital markets, with the refinery, built at a cost of $20 billion, already credited with reshaping global trade routes in the energy sector.
Money managers have compared the refinery’s $47 billion valuation to standalone peers such as Tupras, valued at $12 billion, and HF Sinclair, valued at $16 billion, with Dangote projecting an aggressive $12 billion in EBITDA to justify the premium.
Order books are set to open on September 14, with the capital raised expected to aggressively fund Phase 2 of the project, doubling Lagos output to 1.4 million barrels daily.
Following a recent $2.5 billion private placement that valued the complex at $40 billion, the conglomerate is now firmly eyeing a $100 billion group valuation and $80 billion in annual revenue by 2030.
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