Africa’s biggest refinery is preparing for a major financial move that could attract billions of dollars from investors.
The Dangote refinery’s initial public offering is set to open in the next ten to twelve days, according to Aliko Dangote, President of Dangote Industries Limited.
In an interview with analysts and investors in Botswana on Thursday, Dangote revealed this, according to Reuters.
The largest refinery in Africa, valued at $20 billion, is anticipated to generate roughly $5 billion through the initial public offering (IPO), potentially making it the largest on the continent.
In order to reach 1.4 million barrels per day, our goal is to ensure that the refinery’s capacity is doubled.
Dangote stated that the IPO will begin in the next ten to twelve days.
The largest refinery in Africa, located in Lagos, reached its maximum capacity of 650,000 barrels per day in February and has since pushed output beyond that mark, touching 700,000 barrels per day in tests.
Although refiners around the world have recently reported higher earnings as clients shifted to alternative fuel sources due to the volatility in the Middle East, Dangote does not disclose margin data for the plant.
Dangote utilized the trip to Botswana to plan a broader course of action for his industrial empire in addition to the refinery listing.
In order to reach a wider range of foreign investors, Dangote Cement is scheduled for a secondary offering on the London Stock Exchange, most likely in October.
In order to reduce the region’s reliance on imports and provide refined petroleum to Kenya and its neighbors, he also confirmed a long-planned expansion outside Nigeria’s borders: a new refinery on Kenya’s coast, constructed in collaboration with East African countries.