Dangote projects refinery shares could rise to N10,000 from N525 in IPO

Aliko Dangote, president of Dangote Industries Limited, has projected that shares in the Dangote Petroleum Refinery, currently priced at N525, could reach N10,000 in value in the future. The shares are part of an upcoming Initial Public Offering (IPO) scheduled to run from September 14 to October 13, 2026, comprising 4.1 billion ordinary shares. The full subscription is expected to raise approximately N2.15 trillion, with a minimum purchase of 10 shares at N5,250. Retail investors seeking to buy smaller amounts, such as N50,000 or N100,000 worth of shares, will be prioritised over large institutional investors, Dangote said.

During an interview conducted in Hausa with Abis Fulani and translated by Google Gemini, Dangote assured small-scale investors of preferential allocation, noting that large investors would not receive their full requested amounts if demand exceeds supply. He emphasized that holding the shares could lead to significant returns, citing an example where a N5 million investment could grow to over N50 million if the share price hits N10,000. Shareholders will also have the option to receive dividends in either naira or dollars, a feature Dangote said would benefit Nigerians with financial obligations abroad, particularly parents with children studying in the United Kingdom.

The dollar dividend option, according to Dangote, would shield investors from currency depreciation, referencing the naira's fall from around N400 to N1,800 per dollar. After the IPO closes, applications will be processed and allotments communicated to investors. While the shares are expected to be listed on the Nigerian Exchange Main Board, the future market price will depend on company performance, refining margins, investor sentiment and broader economic conditions. The N525 offer price does not guarantee any specific return.

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