Advisers chosen for Dangote Refinery’s upcoming listing on Nigerian Exchange

The Dangote Refinery is on a trajectory to be listed on the main board of the Nigerian Exchange Limited (NGX), with Stanbic IBTC Capital, First Capital, and Vetiva Capital Management identified as the advisory team. This development is expected to attract various domestic and international investors, influencing the depth and valuation dynamics of the NGX significantly.

Aliko Dangote, the President of the Dangote Group, confirmed the upcoming listing of Dangote Refinery on the NGX within the next four to five months. During a visit by Nigerian National Petroleum Company Limited (NNPC) executives, he disclosed plans to offer a 10 percent stake in his $20 billion refinery to the market. Dangote also mentioned ongoing discussions with regulators to enable dollar-denominated dividend payouts to counter currency volatility challenges.

Collaborations with the NGX and the Securities and Exchange Commission (SEC) are underway to finalize the structure for the proposed initial public offering (IPO) of the refinery. Mr. Ambrose Omordion from Investdata Consulting Ltd. emphasized the expertise of the advisory firms in facilitating the success of the NGX listing.

In addition to the refinery listing, Dangote Cement Plc, a subsidiary of Dangote Industries Limited, secured a significant deal with Sinoma International Engineering, a Chinese company, to embark on 12 new projects and expansion initiatives across Africa. Valued at over $1 billion, these projects align with Dangote Cement’s ambition to reach an 80 million tonnes per annum (MTPA) production capacity by 2030.

The collaborative agreement with Sinoma International Engineering will focus on establishing new plants and enhancing operational efficiency across key markets in Africa. Projects include expansions in Nigeria, Ethiopia, Zambia, Zimbabwe, Tanzania, Sierra Leone, and Cameroon. The partnership highlights Dangote Cement’s commitment to strengthen its market dominance and global competitiveness within the cement industry.

The projects undertaken by Dangote Cement will not only enhance operational capabilities but also support the attainment of Dangote Group’s Vision 2030, aiming to generate $100 billion in revenue by 2030. Chairman of the Board of Directors of Dangote Cement Plc, Emmanuel Ikazoboh, emphasized the strategic importance of these projects and their contribution to Africa’s cement industry.

Moreover, Arvind Pathak, the Group Managing Director of Dangote Cement, highlighted the company’s dedication to closing supply gaps and boosting infrastructure development across African markets. With a focus on self-sufficiency in cement production, Dangote Cement strives to create economic value, generate increased employment, and foster economic growth across the continent.

Recently, Dangote Cement expanded its Gas Sales and Purchase Agreements (GSPA) with Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited, subsidiaries of the Nigerian National Petroleum Company Limited (NNPC). This agreement exemplifies Dangote Cement’s strategic alignment with its long-term growth objectives.

In summary, the impending listings of the Dangote Refinery and the collaboration with Sinoma International Engineering underscore the continuous growth and expansion initiatives of Dangote Group’s business entities, fostering economic development and cementing their presence in key African markets.