IPO FACTSHEET · NIGERIAN EXCHANGE (NGX)
Initial Public Offering of 4.1 billion ordinary shares at ₦525.00 per share · Information as at 23 September 2026
Dangote Petroleum Refinery and Petrochemicals FZE (DPRP), operator of the 700,000 bpd refinery at Lekki, Lagos, is issuing 4.1bn new shares to fund its expansion to 1.4m bpd by 2029. The offer values the company at about ₦65.2tn (~US$49bn) after the issue, roughly 23% above the valuation set in its July 2026 private placement. The refinery swung from a US$476m loss in 2025 to a US$1.82bn profit after tax in the first half of 2026.
1. Offer terms
| Term | Detail |
|---|---|
| Issuer | Dangote Petroleum Refinery and Petrochemicals FZE, a free-zone enterprise in the Dangote Industries Free Zone, Lagos. Separate from Dangote Cement, Dangote Sugar and Dangote Industries |
| Offer type | Offer for Subscription: new shares only; all proceeds go to the company |
| Offer size | 4,100,000,000 ordinary shares of US$0.000013 each |
| Offer price | ₦525.00 per share (~US$0.40 at the prospectus reference rate of ₦1,319.54/US$) |
| Proceeds | ₦2.1525tn gross; ~₦2.11tn net of ₦41.49bn offer costs |
| Upsize option | Up to 30% additional shares (to ~5.33bn in total) if oversubscribed, subject to SEC approval |
| Minimum application | 10 shares (₦5,250), then multiples of 10 |
| Cornerstone | Pan-African Refinery Investment SPV has committed up to the naira equivalent of US$400m (~25% of the base offer) |
| Allotment | Full-allotment threshold applies if oversubscribed; the issuer has said retail and small applicants will receive priority |
| Loyalty bonus | One bonus share for holding at least 10 shares for 12 months after allotment, and a second after a further 12 months (maximum two per holder). Subject to shareholder and regulatory approval |
| Dividends | Proposed to be paid in US dollars from export earnings, subject to regulatory approval. Dividends are not guaranteed |
| Listing | Main Board of the Nigerian Exchange (NGX) |
| Lead issuing house | Vetiva Advisory Services |
Prospectus. Dated 7 September 2026. Official copy: ipo.dangote.com (“Read the prospectus”). Also available via AfricanFinancials (direct document link).
Timetable
| Date (2026) | Event | Status |
|---|---|---|
| 7 September | Prospectus dated; signing ceremony in Lagos | Completed |
| 14 September | Offer opens | Completed |
| 13 October | Offer closes; late applications rejected | Scheduled |
| c. 11 November | SEC clears basis of allotment; allotment announced about one business day later | Indicative |
| Mid–late November | Surplus and rejected application monies returned | Indicative |
| Early December | Shares credited to CSCS accounts; trading begins on NGX | Indicative |
Indicative dates may be changed by the issuer and its advisers. The lead issuing house initially guided to a November listing.
2. Company and historical performance
After losses of about US$2.0bn across its first two years of operation, the refinery earned US$1.82bn after tax in H1 2026 as utilisation rose to 83.6% and its gross refining margin reached US$24.50 per barrel.
The asset. A single-train refinery re-rated to 700,000 bpd in July 2026 (650,000 bpd nameplate), with a Nelson Complexity Index of 11.5. It produces Euro V petrol, diesel and jet fuel, plus up to 830,000 tonnes a year of polypropylene. Built at a cost of about US$20bn, it began commercial operations in January 2024, passed its 650,000 bpd performance test in February 2026 and reached 700,000 bpd in June 2026.
| US$ | FY2024 | FY2025 | H1 2026 |
|---|---|---|---|
| Revenue | 7.1bn | 14.2bn | 13.91bn |
| EBITDA | – | – | 2.60bn |
| Profit / (loss) after tax | (1.51bn) | (475.8m) | 1.82bn |
| Gross refining margin (per bbl) | 10.70 | 13.70 | 24.50 |
In naira: FY2025 revenue ₦18.73tn and loss after tax ₦723.06bn; H1 2026 revenue ₦19.13tn, gross profit ₦3.43tn and profit after tax ₦2.50tn. H1 2026 EBITDA margin 18.7%. FY and H1 periods are January–December and January–June.
Balance sheet (30 June 2026). Total assets ₦29.07tn; net debt to EBITDA 0.27x. The company also has a US$750m 7.5% bond maturing in 2031.
Context. First-half 2026 earnings benefited from an exceptional margin environment, including supply disruption linked to the Iran conflict and strong European demand for jet fuel. Investors should not assume these margins persist.
3. July 2026 private placement
The pre-IPO private placement raised about US$2.5bn at US$0.35 per share after demand reached 3.7 times the initial offer size, valuing the refinery at about US$40bn.
| Item | Result |
|---|---|
| Completed | July 2026 (company confirmation 23 July) |
| Initial offer size | About US$1bn |
| Subscription | 3.7x the initial offer size |
| Equity issued | About US$2.5bn of new shares (an estimated ~7.1bn shares, ~6% of the company) |
| Price | US$0.35 per share; the IPO price (~US$0.40) is about 14% higher |
| Implied valuation | About US$40bn |
| Minimum investment | 1m shares (US$350,000) |
| Lock-up | 365 days, as reported, implying earliest release around July 2027 |
| Investors | Africa Finance Corporation, sovereign wealth funds and development finance institutions |
Management attributes the lower placement price to the lock-up and other conditions accepted by institutional investors. In August 2026 a further US$1bn underwriting programme was completed, comprising a funded US$600m placement tranche and the US$400m cornerstone commitment to this IPO.
4. Ownership and valuation
Aliko Dangote retains about 84% after the offer. Excluding the cornerstone investor, shares available to the wider public represent about 2.5% of the enlarged company.
| Shareholder | Before offer | After base offer |
|---|---|---|
| Aliko Dangote (beneficial, via several vehicles) | 87.27% | ~84.34% |
| Nigerian National Petroleum Company (NNPC) | 6.815% | ~6.59% |
| July 2026 placement investors (estimated) | ~5.9% | ~5.75% |
| Pan-African Refinery Investment SPV (cornerstone) | – | ~0.84% |
| Other IPO subscribers | – | ~2.46% |
| Total shares in issue | 120.13bn | 124.23bn |
Dangote and NNPC percentages are from the prospectus. Placement and cornerstone lines are estimated from the deal terms. With the full 30% upsize, Aliko Dangote’s interest would be about 83.56%.
| Valuation measure | Value |
|---|---|
| Market capitalisation at ₦525 after the offer | ₦65.22tn (~US$49.3bn) |
| July 2026 private placement valuation | ~US$40bn |
| Price / annualised H1 2026 earnings | ~13x |
| Market capitalisation / annualised H1 2026 EBITDA | ~9.5x |
| Expected weight in NGX total market capitalisation | ~30–35% |
Annualised multiples are illustrative and based on H1 2026, a period of unusually high refining margins. On normalised margins the multiples would be materially higher.
5. Projections and market views
The company plans to double capacity to 1.4m bpd by 2029 at a cost of US$14.3bn, with US$11.8bn of capital expenditure scheduled through 2028. Broker valuations range from about US$57bn to US$65bn today.
Company disclosures
| Item | Projection |
|---|---|
| Capacity | 700,000 bpd to 1.4m bpd by 2029, through a second crude distillation unit and associated units (Phase II) |
| Phase II cost | US$14.3bn. IPO net proceeds cover roughly 11%; the balance is to come from operating cash flow and other financing |
| Capital expenditure | H2 2026: US$4.8bn · 2027: US$3.9bn · 2028: US$3.1bn (US$11.8bn in total) |
| Tax | From 1 January 2028, profits on sales into Nigeria’s customs territory may become fully subject to Nigerian tax |
| Export earnings | About US$6.4bn a year projected by the Chairman; the intended source of US dollar dividends |
The prospectus states that no representation is made that projected results will be achieved, and that its forecasts assume sustained high utilisation and operating efficiency.
Broker valuations
| Broker | Valuation / target | Basis |
|---|---|---|
| Chapel Hill Denham | US$62.53bn fair equity value; US$113.43bn by 2030 | Assumes Phase II is completed |
| Renaissance Capital Africa | US$57.11bn–US$65.44bn (₦608.20–₦696.94 per share) | Post-IPO equity value |
| CardinalStone | 12-month target price ₦688.09 (+31.1% vs offer price) | Weighted DCF and peer multiples |
Independent analysts have questioned whether current margins are sustainable, noting that sell-side capital expenditure assumptions are well below the company’s own schedule and that valuations imply high multiples on normalised earnings.
6. Prospectus summary
Use of net proceeds (~₦2.11tn, all to Phase II)
| Allocation | Share |
|---|---|
| Supporting utilities, offsites and associated infrastructure | 39.8% |
| Core refinery process units and major equipment | 32.5% |
| Civil, mechanical, electrical and construction works | 27.6% |
Board and management. Chairman Aliko Dangote; CEO David Bird (formerly Shell and Santos); CFO Bruce Tanner; COO Sanjaya Bhatnagar. The board operates four committees: Audit and Risk; Finance and Investment; Remuneration, Governance and General-Purpose; and Technical and Sustainability.
Legal structure. A free-zone enterprise regulated by the Oil and Gas Free Zones Authority, rather than a company under the Companies and Allied Matters Act. Share capital is denominated in US dollars. Nigeria’s pension regulator granted a one-off waiver allowing pension fund administrators to participate.
Market position. The refinery supplied an estimated 87.6% of Nigeria’s petrol, including imports, as of May 2026, and exports diesel, jet fuel and other products to West Africa and Europe. Domestic products are priced at import parity.
Key risks
- Short operating record. Nameplate capacity was reached only in February 2026; performance achieved in testing may not be sustained.
- Margin cyclicality. Profitability depends on the spread between crude costs and product prices, which were unusually wide in H1 2026.
- Concentration. A single-train, single-site refinery dependent on reliable crude supply.
- Expansion execution. Phase II carries cost, schedule and financing risk; projects of this scale commonly take four to seven years.
- Tax change. Customs-territory profits may become fully taxable from 1 January 2028.
- Control. The founder retains a controlling interest; minority shareholders will have limited influence.
- Dividends. Not guaranteed; US dollar payment requires regulatory approval, and capital expenditure competes for cash.
7. Future offerings
No follow-on offering has been announced or scheduled. The only additional shares currently in prospect are the up-to-30% upsize within this offer; a listing outside Nigeria is expected to be at least three years away.
| Timing | Event | Status |
|---|---|---|
| By November 2026 | Upsize of up to 1.23bn shares if the offer is oversubscribed | Option within current offer |
| c. July 2027 | Expiry of the private placement lock-up (~7.1bn existing shares become tradable) | Reported 365-day lock-up |
| 2026–2028 | Further equity or debt to fund Phase II capital expenditure | Possible; not announced |
| Not specified | Cross-listings or depositary receipts on other African exchanges | Discussed; not confirmed |
| c. 2029–2030 | Secondary listing in the United States | Stated intention |
Earlier plans contemplated a larger public float of around 10% across African exchanges, compared with about 3.3% in this offer. Further offerings are therefore possible but remain unconfirmed.
8. Liquidity implications before further supply
Until the placement lock-up ends around July 2027, DPRP will trade on a small float of 4.1–5.3bn shares while representing roughly a third of NGX market capitalisation. Investors should expect scarcity-driven pricing, wider spreads and higher volatility.
| Measure | Value |
|---|---|
| Tradable shares at listing | 4.1bn (₦2.15tn); 5.33bn (₦2.80tn) with full upsize |
| Excluding the cornerstone investor | ~3.06bn shares (~2.5% of the company) |
| Share of NGX free-float capitalisation | About 5%, against ~30–35% of total market capitalisation |
| Locked-up placement shares | ~7.1bn, about 1.3–1.7x the listed float |
| Time from application to tradable shares | Up to about 12 weeks for early applicants |
| Period | What happens | Liquidity implication |
|---|---|---|
| Offer period (to Nov 2026) | Application monies are held by receiving agents; investors sell other assets to fund applications | Naira liquidity is drawn from deposits and money-market funds; possible selling pressure on large NGX stocks |
| Refunds and listing (Nov–Dec 2026) | Excess application monies are returned and shares credited | A large refund wave may support demand across NGX equities and fixed income around listing |
| Post-listing (Dec 2026–Jul 2027) | Only IPO shares trade; retail priority may leave institutions under-allocated | Institutional and index demand chasing a thin float; prices may reflect scarcity rather than fundamentals |
| Holding incentives (to late 2027) | The loyalty bonus rewards 12 months’ continuous holding | Retail turnover is likely to be low, reducing the effective float further |
| Lock-up expiry (c. Jul 2027) | Placement shares become tradable | Potential supply overhang; the market may price this in ahead of expiry |
Regulation. DPRP meets NGX free-float requirements through the value test rather than the 20% percentage test. A review of free-float rules by NGX and the SEC, launched in March 2026, could change future requirements.
Investors outside Nigeria. Access is through intermediaries and involves currency conversion and settlement steps, so exit liquidity may be lower than headline demand suggests.
How to Invest Through Level Africa
Investors interested in participating in the Dangote Petroleum Refinery IPO can access the opportunity through Level Africa, subject to availability and the applicable offer terms.
1. Create & Verify
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2. Fund Your Wallet
Add funds to your Level wallet using the available funding options.
3. Select the Dangote Refinery IPO
Find the Dangote Petroleum Refinery IPO among the available investment opportunities and review the offer details.
4. Invest & Track
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Important information
This factsheet has been prepared by Level Africa Uganda Limited, licensed as an investment adviser by the Capital Markets Authority of Uganda (Licence No. CMA/L/ADV/0049), for information purposes only. It summarises publicly available information, including the issuer’s prospectus dated 7 September 2026 and published media and research reports, which Level Africa has not independently verified. Some figures are estimates derived from published terms and are identified as such. It does not constitute an offer, solicitation or recommendation to buy or sell any security, and does not take into account any investor’s objectives, financial situation or needs.
The offer is made solely on the basis of the prospectus, which investors should read in full, including its risk factors, before applying. Participation may be restricted by the laws of an investor’s country of residence. The value of shares can fall as well as rise, dividends are not guaranteed, and investors may lose some or all of their capital. Past performance is not a guide to future results. Figures are as at 23 September 2026 and may change.
Sources
- Dangote Petroleum Refinery IPO official site
- AfricanFinancials, DPRP 2026 prospectus summary
- Reuters via CNBC Africa, IPO launch, 14 September 2026
- Forbes Africa, listing timetable
- Premium Times, private placement
- Nairametrics, private placement confirmation
- ThisDay, H1 2026 results
- Opinion Nigeria, ownership structure from the prospectus
- bne IntelliNews, broker valuations and capital expenditure
- Ecofin Agency, free-float analysis
- Guardian Nigeria, demand and upsize
- Semafor, US listing plans