Aliko Dangote Eyes $5 Billion Share Sale as Refinery Valuation Hits $50 Billion
Aliko Dangote is preparing to open a portion of his refinery business to investors as the valuation of the Dangote Petroleum Refinery & Petrochemicals climbs to an estimated $50 billion ahead of a proposed public listing.
The planned transaction could involve the sale of up to 10 percent of the refinery business through the Nigerian stock market, potentially raising about $5 billion and marking one of the largest equity offerings ever linked to Africa’s energy sector.
The refinery, which commenced operations in 2024, has rapidly strengthened its position in Nigeria’s downstream oil market as rising local fuel demand and improved refining margins continue to support earnings expectations.
Industry sources familiar with the transaction said the valuation reflects growing confidence in the long-term commercial viability of the 650,000 barrels-per-day facility, now regarded as one of the most strategic industrial assets on the continent.
The planned listing is also expected to broaden investor participation in the refinery business while providing additional capital to support the next phase of expansion.
Dangote is understood to be considering a wider African capital market strategy that could allow investors across multiple exchanges to participate in the offering as discussions continue among regional market operators and financial advisers.
Executives within the African exchange community recently met in Lagos to examine the framework for a potential cross-border listing structure aimed at easing participation by institutional and retail investors outside Nigeria.
Market analysts said a multi-exchange offering could deepen liquidity across African financial markets and reinforce Nigeria’s position as a regional investment destination.
The refinery currently processes 650,000 barrels of crude oil per day, making it the largest single-train refinery globally.
However, the company is now targeting a significant expansion that could push capacity above 1 million barrels per day over the next few years.
To support its long-term growth strategy, the company recently secured multi-billion-dollar financing support led by the African Export-Import Bank.
The refinery has become increasingly important to Nigeria’s fuel supply chain as the country seeks to reduce dependence on imported petroleum products and strengthen domestic refining capacity.
Financial advisory firms working on the proposed listing are said to be developing the structure, timing and regulatory framework for the transaction ahead of a potential market debut later this year.
