Refinery shares may hit N10,000 — Dangote

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President of Dangote Industries Limited, Aliko Dangote, has said shares of the Dangote Petroleum Refinery, currently offered at N525, could rise to N10,000 in the future.

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Dangote also assured small-scale investors seeking to participate in the refinery’s Initial Public Offering that they would be prioritised in the allocation of shares.

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He spoke in Hausa during an interview with Abis Fulani, translated by Google Gemini, while discussing the planned IPO and its potential benefits to investors.

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The interview was published on Thursday but gained traction on Saturday.

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According to Dangote, retail investors seeking to buy shares worth N50,000, N100,000 and other smaller amounts would receive priority over large institutional investors.

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He said, “When you do something like this—what is called an IPO—all the small-scale investors are the ones who will be given priority first.

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“The big institutional investors who request large allocations will not get everything they ask for. But the small retail investors who want to buy N50,000 worth, or some buying N100,000 worth, and so on, they are the ones who will be given priority allocations.”

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He said the remaining shares would subsequently be distributed among investors.

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On the potential value of the shares, Dangote said the current N525 price could increase substantially, projecting that it could eventually reach N10,000.

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He said, “As I was saying, this share, if you look at it, we are currently at N525. A day will come when this share will reach N10,000.

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“Therefore, if you hold it, having bought it, and it rises to N10,000, where you previously invested N5m, it will now be worth over N50m. You see, you have become wealthy.”

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Dangote further said shareholders could choose to receive dividends in either naira or dollars, saying the option could help investors cope with currency depreciation.

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He said the dollar option would be particularly useful to Nigerians with financial obligations abroad, including parents with children studying in the United Kingdom.

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Dangote said, “The benefit of buying it is that holding this share will not prevent you from carrying out your regular work. You hold this share, and when dividends are paid, you won’t need to fear currency devaluation.

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“That is because you can choose to receive your dividend in Naira or in Dollars. If you have a child studying at a school in England, for example, even if there is economic instability or currency devaluation—may God protect us—having this means what you receive is in Dollars.”

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He recalled the sharp depreciation of the naira against the dollar, saying the exchange rate had risen from about N400 to the dollar to N1,800.

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“So your child won’t have to… avoid exchange rate shocks, like when rates moved from N400 up to N1,800.

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“Most children were brought back home as a result. So what we want to prevent is that kind of situation,” he said.

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The Dangote Refinery IPO comprises 4.1 billion ordinary shares priced at N525 each. A full subscription is expected to raise about N2.15tn, while the minimum subscription is 10 shares, costing N5,250. The offer is scheduled to run from September 14 to October 13, 2026.

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After the offer closes, applications will be processed and investors will be informed of their allotments. Applying for a particular number of shares does not guarantee that an investor will receive the full amount requested, particularly if the offer is oversubscribed.n

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The shares are expected to be listed on the Nigerian Exchange Main Board after the allotment process, after which their market price will be determined by demand and supply.

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While Dangote projected that the shares could eventually reach N10,000, the N525 offer price does not guarantee a future market price or return.

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The share price could rise or fall after listing depending on the company’s performance, investor sentiment, refining margins, demand and broader economic conditions.

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The IPO proceeds are expected to support the refinery’s expansion, with the company planning to increase its refining capacity from about 650,000–700,000 barrels per day to 1.4 million barrels per day.

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