Dangote Petroleum Refinery, the Lagos-based plant owned by Africa’s richest man, Aliko Dangote, has closed the continent’s biggest initial public share offering. The company says it raised funds from investors in 120 countries.
The offer was originally due to close on October 13 but was extended by two weeks to give more Africans the chance to participate.
The company did not say how much money the offering may have raised, after earlier stating a target of $1.6 billion.
Dangote said earlier this month, however, that the offer had surpassed that target by “more than three, four times”.
“This is a historic achievement for Africa. It shows what is possible when we believe in our continent, work together and invest in our shared future,” he said in a statement late Tuesday.
The refinery has a capacity of 700,000 barrels per day and plans to double its output to 1.4 million barrels per day. That would potentially make it the world’s largest refinery, overtaking India’s Jamnagar refinery.
The company said investors from all 54 African countries and five other continents took part in the offering.
“Investor applications spanning 120 countries demonstrate the extraordinary international interest in our business and the confidence that investors are placing in the future of this refinery,” Aliko Dangote said.
“The opportunity to own a stake in a major African industrial enterprise has reached investors across every African country and all six inhabited continents,” he added.
In July, the refinery secured $2.5 billion in investment from private investors.
Last month, the company broke ground on a planned $16 billion refinery on Kenya’s Lamu island, which is projected to have a capacity of 700,000 barrels a day.
Africa currently imports more than 70 per cent of its refined fuel, according to an Africa Finance Corporation report published in April.
