The Dangote Petroleum Refinery and Petrochemicals has secured a $1 billion underwriting programme ahead of its planned Initial Public Offering (IPO), marking a major step towards its listing.
The arrangement, structured by Marob Strategies and Consulting DIFC Ltd and Lilium Capital Group, comprises a completed $600 million private placement and an additional $400 million underwriting commitment.
In a statement on Tuesday, Dangote Group said the $600 million private placement had been fully underwritten and funded by Pan-African Refinery Investment SPV, a subsidiary of Lilium Capital Group.
Marob Strategies and Lilium Capital will coordinate the distribution of the underwriting participation across Global Africa, targeting sovereign wealth funds, governments, institutional investors and other eligible investors.
The advisers said the transaction had attracted strong investor interest, reflecting growing appetite for major African assets with long-term economic potential.
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Dangote Industries Limited President and CEO, Aliko Dangote, described the deal as a significant milestone for the refinery and African capital markets, saying it demonstrated investor confidence in the project’s strategic importance.
He said the arrangement would create opportunities for African and Caribbean sovereign wealth funds, governments and institutional investors to participate in the refinery.
Marob Strategies Chairman, Professor Benedict Okey Oramah, said the transaction highlighted growing demand for African-led capital market opportunities and could pave the way for similar deals involving major assets on the continent.
Lilium Capital Group Chairman, Simon Tiemtoré, said the mandate would help mobilise long-term institutional capital for strategic African assets while supporting industrialisation and deeper capital markets.
The $1 billion programme is expected to broaden institutional investor participation in the Dangote refinery and strengthen its position as it moves towards its proposed IPO.
