Dangote Petroleum Refinery in Nigeria has launched Africa's largest share sale, offering 4.1 billion shares at 525 Nigerian naira each to raise approximately $1.6 billion for expanding its processing capacity. The Nigerian offer runs from September 14 to October 13, 2026. This initial public offering (IPO) is the largest share sale ever launched in Africa, representing roughly a three per cent stake in the refinery.
For Kenyan investors, participation in the Nigerian IPO was initially not straightforward as the offer was authorised in Nigeria but had not been approved for solicitation in Kenya. However, the Nairobi Securities Exchange (NSE), Renaissance Capital and other transaction advisers began working on a proposed Global Depositary Receipt (GDR) structure to give Kenyan retail and institutional investors access to the Dangote shares through the Kenyan capital market.
The proposed GDR structure would allow Kenyan investors to trade locally, with licensed Kenyan stockbrokers handling investor orders and the necessary customer and compliance checks. Renaissance Capital would act as the transaction adviser and GDR issuer, while Stanbic Bank Kenya would hold the underlying Nigerian shares in custody. The proposed GDRs would be traded and settled in Kenyan shillings through Kenya's existing market infrastructure.
The Nigerian IPO price is 525 naira per ordinary share, while the proposed Kenyan GDR has been presented at approximately Sh49 per underlying share. The minimum 10-share investment would be about Sh490, before any applicable transaction or administrative charges. A Kenyan investor would acquire a locally traded depositary instrument representing an interest in the underlying Dangote shares held with the custodian.
The Capital Markets Authority (CMA) had cautioned Kenyans against individuals and online platforms claiming to offer access to the Dangote IPO, as the Nigerian offer had not been submitted to or approved by the CMA for solicitation in Kenya. However, the proposed GDR is being developed through Kenya's regulated capital-market infrastructure and remains subject to the required approvals.
NSE Chief Executive Frank Mwiti stated that the exchange was working on a CMA-approved solution through which both institutional and retail investors could participate. The emerging timetable envisages regulatory review around the end of September and beginning of October, followed by a proposed Kenyan offer window from October 5 to October 13, subject to regulatory approval.
The proposed GDRs are targeted for listing on the NSE on December 8, 2026. President William Ruto toured the Dangote Refinery in Lekki, Lagos State, Nigeria, at the invitation of Dangote Group President and CEO Aliko Dangote ahead of the groundbreaking ceremony for the Dangote East African Refinery in Lamu, Kenya.
Key points
- The Dangote Petroleum Refinery IPO is the largest share sale in Africa, offering 4.1 billion shares at 525 Nigerian naira each.
- Kenyan investors can access the IPO through a proposed Global Depositary Receipt structure on the Nairobi Securities Exchange.
- The proposed GDRs are targeted for listing on the NSE on December 8, 2026.
