Dangote Petroleum Refinery has ruled out pursuing an overseas stock market listing for at least the next three years, choosing instead to focus on its planned Nigerian initial public offering (IPO). The decision comes as the refinery prepares for a potential $5 billion IPO that could become the largest stock market listing in African history.
The refinery’s Chief Executive Officer, David Bird, disclosed the timeline in an interview with Reuters, explaining that the company wants to build a stronger record of production and financial performance before entering international capital markets. A future listing in London has been mentioned as a possibility, but the company appears determined to first establish itself firmly on the Nigerian Exchange.
Bird said the refinery wants at least three years of proven operations before considering a foreign listing, a move that could potentially strengthen investor confidence and support a higher valuation. He also stressed that the Nigerian IPO is designed to give local investors a chance to participate directly in the refinery’s growth, describing it as a potential “people’s IPO.”
The decision comes amid growing interest in the refinery’s plans to raise capital and expand its operations. Dangote Petroleum Refinery is targeting a $5 billion IPO by October, following its successful $2.5 billion private placement earlier this year. The company is also targeting an expansion that would increase refining capacity to 1.4 million barrels per day within the next three years, further strengthening its position as a major refining and petrochemicals hub.
For now, the message from Dangote Refinery is clear: Nigeria comes first. The refinery already supplies a significant share of the country’s petrol and diesel demand, while also meeting all of its jet fuel needs and exporting petroleum products to markets across Africa and Europe. If the planned Nigerian IPO goes ahead as expected, it could mark a major moment for Nigeria’s capital market and give local investors an opportunity to own a stake in one of Africa’s most closely watched industrial projects.
source: nairametrics
