The Dangote refinery IPO has been extended by 10 days to give more investors across Africa an opportunity to participate in the major share offering.
The Nigerian refinery, owned by billionaire Aliko Dangote, aims to raise up to $2.1 billion to support its expansion plans.
The offering began on September 14 and was originally scheduled to close on October 13.
According to Business Insider Africa, the extension follows strong interest from investors across the continent.
Dangote refinery IPO extended amid strong demand
Dangote Industries announced the extension as it seeks to expand participation beyond Nigeria.
The company said it had received strong interest from eligible investors in Africa and other markets.
Chief Executive Officer David Bird said the additional time would help more African investors access the offering.
The share sale could become one of the largest initial public offerings in African capital market history.
However, its final size will depend on investor participation and the amount raised.
The refinery currently has a reported processing capacity of 700,000 barrels of crude oil per day.
African countries gain access to Dangote refinery IPO
The company wants to attract investors from several African markets.
Its plans include reaching up to 10 million retail investors across Nigeria and other countries.
According to Business Insider Africa, nearly 20% of the offering is being made available to investors in East Africa.
Bloomberg estimated that the regional allocation could reach $300.4 million if fully subscribed.
Meanwhile, Uganda has approved the promotion and distribution of the refinery’s securities to local investors.
The country’s Capital Markets Authority granted the necessary permission.
Investors in Kenya and Botswana have also gained access through global depositary receipts.
These arrangements could help broaden participation in one of Africa’s largest industrial investment projects.
Refinery expansion targets 1.4 million barrels daily
Dangote Industries plans to use proceeds from the share sale to expand the refinery.
The company aims to increase processing capacity from 700,000 barrels per day to 1.4 million barrels per day by 2029.
If completed, the expansion could make the facility the world’s largest refinery by processing capacity, according to the company’s plans.
The refinery represents one of Nigeria’s biggest industrial investments.
Its development is also part of wider efforts to increase domestic fuel production and strengthen the country’s refining sector.
However, the proposed expansion will depend on financing, construction progress and operational developments.
IPO could value refinery at nearly $50 billion
The offering could place the refinery’s valuation close to $50 billion if it attracts sufficient investor demand.
That would make the transaction a major event for African capital markets.
The refinery itself was developed at a reported cost of approximately $20 billion.
However, the potential valuation is not guaranteed.
The final outcome will depend on the offering’s terms, investor participation and market conditions.
The IPO also provides an opportunity to assess demand for major African industrial companies among investors from different countries.
Share sale highlights growing African investment links
The extension reflects Dangote Industries’ efforts to attract investors beyond its home market.
It also highlights increasing cooperation between African financial markets.
Participation from Uganda, Kenya and Botswana could support broader access to regional investment opportunities.
However, investors must still consider the risks associated with equity investments.
The company has not guaranteed the final amount it will raise or the valuation it will achieve.
For now, the additional 10 days will allow more eligible investors to consider the offering as Dangote Industries prepares for its next phase of expansion.