Ugandan investors are set to gain access to Dangote Petroleum Refinery’s $1.6 billion IPO, expanding the Nigerian energy company’s fundraising drive beyond its home market.
Uganda’s Capital Markets Authority (CMA) approved the offer on October 6 following an application by Stanbic IBTC Capital, which is representing Dangote Petroleum Refinery.
The approval comes just days before the IPO’s October 13 subscription deadline and follows a similar move by Kenya to allow eligible investors to participate.
Who can invest in Uganda?
The offer will not be available to the general Ugandan public.
According to the CMA, participation is limited to high-net-worth individuals and professional investors and cannot be broadly advertised or solicited.
SBG Securities Uganda has been authorised to market and sell the shares to eligible investors, while other licensed firms will require approval before participating in the distribution.
Dangote’s ₦2.15tn IPO
The refinery’s Nigerian IPO opened on September 14 with 4.1 billion shares priced at ₦525 each.
If fully subscribed, the offering could raise approximately ₦2.15 trillion ($1.6 billion), making it one of Africa’s largest capital-market offerings.
The company is targeting funds to support the continued expansion of its Lagos refinery, which currently has capacity of about 700,000 barrels per day, with plans to increase this to 1.4 million barrels per day.
The refinery, located in Lekki, began operations in 2024 and has become an increasingly important part of Nigeria’s petroleum supply chain.
Kenya and Uganda open the door to African investors
Uganda’s approval follows Kenya’s decision to provide a framework for eligible Kenyan investors to gain exposure to the refinery through Global Depository Receipts (GDRs) listed on the Nairobi Securities Exchange.
The moves highlight Dangote’s attempt to attract capital from across Africa as it seeks to broaden participation in the refinery’s ownership.
However, the IPO being offered to investors in Uganda and Kenya relates to Dangote’s existing refinery in Nigeria.
It is separate from Dangote’s proposed $16 billion refinery project in Lamu, Kenya, which is expected to have a capacity of 700,000 barrels per day.
IPO deadline approaches
With the subscription window closing on October 13, the expansion into additional African markets gives Dangote more opportunities to attract investors before the offer closes.
For Ugandan investors, however, access remains limited to those who meet the CMA’s professional or high-net-worth investor requirements.
