June 11, (THEWILL) — The Dangote Petroleum Refinery has been valued at approximately $39.1 billion as it moves to raise fresh capital from investors through a private placement expected to generate about $1 billion.
According to an Information Memorandum seen by Nairametrics, the refinery is offering 3 billion ordinary shares at a placement price of $0.35 per share.
Market sources familiar with the transaction said investor demand has already exceeded $2 billion, indicating that the offer could be oversubscribed following the close of the indication-of-interest period.
The valuation positions the refinery among the most valuable privately held industrial assets in Africa, underscoring investor confidence in its long-term growth prospects and strategic importance to Nigeria’s energy sector.
The memorandum shows that the refinery currently has a share capital of approximately 111.67 billion ordinary shares.
The new share offering forms part of the company’s broader funding strategy aimed at supporting ongoing expansion projects and meeting general corporate financing needs.
Under the terms of the placement, investors are required to subscribe to a minimum of 1 million shares, translating to an investment of $350,000.
Additional subscriptions will be accepted in multiples of 500,000 shares. Investors will also be subject to a 365-day lock-up period from the date of share allotment.
The fundraising comes as the refinery continues to strengthen its position in Nigeria’s downstream petroleum industry and expand its influence across regional energy markets.
Analysts say the $39.1 billion valuation reflects growing expectations that the refinery will play a pivotal role in improving domestic fuel supply, reducing import dependence, and boosting energy security across West Africa.
The private placement is expected to provide additional financial flexibility as the company advances its operational and expansion objectives.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
