Dangote Targets $50B Valuation for Refinery Listing

Alhaji Aliko Dangote is targeting a $50 billion valuation for Dangote Petroleum Refinery ahead of its planned stock market listing later this year, according to a Bloomberg report. The refinery is expected to commence operations in 2024, with Dangote aiming to inform investors about its valuation.

The company plans to sell a 10% stake on the Nigerian Stock Exchange, implying a potential offer size of $5 billion. Senior executives from Dangote Group confirmed that the valuation aligns with the company's current international expectations.

The listing is part of a broader strategy to unlock value and broaden the company's investor base, with plans for a landmark cross-border public offer across multiple African stock exchanges. The refinery, with a processing capacity of 650,000 barrels per day, is set to become a dominant player in Nigeria's downstream petroleum market.

Dangote has appointed a consortium of financial advisors, including Stanbic IBTC (NGX: STANBIC) Capital and Vetiva Advisory Services, to assist with the transaction structure.