Aliko Dangote, Chief Executive Officer of Dangote Group, has announced that investors can subscribe to the proposed Initial Public Offering of Dangote Petroleum Refinery and Petrochemicals FZE with a minimum of 10 ordinary shares worth N5,250.
Dangote disclosed this on Monday during the signing ceremony for the refinery’s IPO held at Eko Hotel and Suites in Victoria Island, Lagos, saying the offering comprises 4.1 billion ordinary shares, each with a nominal value of $0.000013, at an offer price of N525 per share.
According to Aliko, the refinery plans to raise slightly more than N2 trillion through the public offering, with proceeds expected to support the expansion of the facility.
He said the low minimum subscription was intended to make the offer accessible to a broad range of Nigerians and encourage wider participation in the ownership of the refinery.
“In this IPO, we intend to raise just a bit more than N2 trillion, which I’m sure is too small, at an offer price of N525 naira, with a minimum subscription of only 10 shares to fund our expansion of the refinery,” he said.
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Dangote explained that the funds would not only support the refinery’s expansion but also create an opportunity for more Nigerians to become shareholders in the company.
He said the offer was designed to allow people from different walks of life, including drivers, cooks, workers and managers, to acquire a stake in the refinery.
The Dangote Group CEO described the offering as “the IPO for the people”, stressing that the initiative was aimed at broadening public participation in one of Nigeria’s largest industrial assets.
Aliko said subscribers would also have an opportunity to build their future savings through ownership of shares in the company.
The proposed IPO is therefore expected to serve a dual purpose by providing funding for the refinery’s expansion while increasing public participation in its ownership.
The offer marks a significant step in Dangote Refinery’s plans to raise additional capital and expand its operations, while potentially giving more Nigerian investors an opportunity to participate in the growth of the business.
The Nation
