By Stephen Okeke
Dangote Refinery’s share sale has
attracted more than N10 billion from investors within hours of opening,
signalling strong early demand for one of Africa’s biggest public offerings.
The figure was disclosed on Monday by Umaru Kwairanga,
chairman of the Nigerian Exchange, during the Facts Behind the Figures ceremony
in Lagos.
Kwairanga said more than N10 billion had already been
subscribed from 8am, supporting earlier remarks by Access Holdings chairman
Aigboje Aig-Imoukhuede about the pace of investor interest.
“With this particular, sterling, historic offer,”
Aig-Imoukhuede said, “already billions of naira have been subscribed by
thousands of investors within minutes or under an hour.”
The refinery opened its Initial Public Offering on Monday,
giving investors across Africa an opportunity to buy shares in the company
during the subscription period.
The offer will run from 14 September to 13 October, with the
refinery expected to pursue a stock market listing in November, according to
details announced for the offering.
Dangote Refinery is seeking to raise $1.6 billion through
the IPO, with the company targeting about 10 million shareholders across Africa
as it seeks broader public ownership.
The funds are expected to support plans to expand the
refinery's crude processing capacity from its current 700,000 barrels per day
to 1.4 million barrels per day by 2030.
The offering values the refinery at about $49 billion and
could significantly increase the size of Nigeria’s capital market if the
anticipated listing proceeds as planned.
The Nigerian Exchange had a market capitalisation of N157.6
trillion at Monday’s opening, meaning a successful listing could substantially
reshape the exchange’s overall value and profile.
Aliko Dangote, president and chief executive of Dangote
Industries, formally opened trading and the Facts Behind the Figures ceremony
at about 9:35am West African Time in Lagos.
The ceremony brought together senior figures from Nigeria’s
financial sector, the oil and gas industry and capital markets from across
Africa.
Among those present were refinery chief executive David Bird
and Edwin Devakumar, Dangote Group’s vice-president for oil and gas and
fertiliser, alongside other senior industry officials.
The gathering also included Frank Nwiti, chief executive of
the Nairobi Securities Exchange, and Neo Mooki, chairperson of the Botswana
Stock Exchange.
Traditional and business leaders also attended, including
the Ooni of Ife, Oba Adeyeye Ogunwusi, and Jim Ovia, founder and chairman of
Zenith Bank.
Other prominent guests included Benedict Okey Oramah,
immediate past president of Afreximbank, and Adaora Umeoji, chief executive of
Zenith Bank.
The strong opening subscription gives the offer an early
boost as Dangote Refinery seeks to turn its landmark scale in Nigeria’s energy
industry into wider ownership through the capital market.
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