In Nigeria, Dangote Refinery IPO raises over 10 billion naira after opening — NGX
In Lagos, Nigeria, after the opening of Dangote Refinery’s initial public offering, the volume of applications exceeded 10 billion naira. Umaru Kwairanga, chairman of the Nigerian Exchange (NGX), said this during the Facts Behind the Figures event at the exchange.
According to Premium Times Nigeria, Kwairanga said that by 8 a.m., investors had already committed more than 10 billion naira to the offering. Aigboje Aig-Imoukhuede, chairman of Access Holdings, also said that within several minutes or less than an hour, thousands of investors had submitted applications, while subscriptions reached billions of naira.
IPO terms
Dangote Refinery plans to raise $1.6 billion from investors in Africa through the IPO and expects to have 10 million shareholders. Applications will be accepted from September 14 to October 13, while the listing is scheduled for November.
More current news is available on the UA.News Telegram channel Telegram.
According to the publication, the refinery was valued at $49 billion during the IPO. Analysts expect the company’s listing could increase NGX’s market capitalization by about one-third. At the opening of trading on Monday, it stood at 157.6 trillion naira.
Use of proceeds
The proceeds from the offering are planned to be used to increase the plant’s nameplate capacity from 700,000 to 1.4 million barrels of crude oil processing per day by 2030.
Trading and the Facts Behind the Figures ceremony in Lagos were opened by Dangote Group founder Aliko Dangote. Participants included plant CEO David Bird, Dangote Group vice president for oil, gas and fertilizers Edwin Devakumar, as well as heads of the Nairobi and Botswana stock exchanges.
