Dangote targets up to $50bn valuation for refinery IPO

Aliko Dangote is seeking a valuation of up to $50 billion for his flagship refinery business in a planned initial public offering that could become the largest stock market listing in African history.

The proposed transaction would see Dangote Petroleum Refinery & Petrochemicals FZE offer as much as 10% of its equity, implying a potential raise of up to $5 billion if priced at the upper end of expectations, Bloomberg reported Monday.

The listing, expected to take place in Nigeria later this year, would mark a major milestone not only for the continent’s capital markets but also for the industrial empire built by Aliko Dangote, Africa’s richest man.

A senior executive within the Dangote Group confirmed that the valuation range broadly aligns with internal expectations, though the company has not publicly disclosed detailed IPO terms.

Proceeds from the offering are expected to help finance an ambitious expansion of the refinery’s capacity, which currently stands at about 650,000 barrels per day, already making it Africa’s largest oil refinery.

The company is exploring plans to double that capacity, deepening its role in reshaping fuel supply dynamics across Africa and beyond.

Since commencing operations, the refinery has become increasingly important to regional energy markets, helping reduce Nigeria’s dependence on imported fuel while emerging as a supplier of refined products, including jet fuel, to Europe.

London listing under consideration

People familiar with the matter said the group has also considered a secondary listing in London at a later stage, potentially broadening access to international investors.

That strategy mirrors broader capital market ambitions across the Dangote Group. The conglomerate is also preparing its cement and fertiliser businesses for future public offerings, while separately considering a London listing for Dangote Cement Plc.

Market analysts have estimated the refinery’s value at between $40 billion and $50 billion, reflecting its scale, strategic importance, and export potential.