SEC Bans Dangote Refinery IPO Promotion, Orders Refund

The Securities and Exchange Commission (SEC) has issued a ban on the marketing and promotion of Dangote Refinery's Initial Public Offering (IPO) due to the lack of regulatory approval. The SEC became aware of widespread advertisements, including flyers and digital banners, soliciting investor interest in the purported public offer.

The commission intervened after reports indicated that registered capital market operators were promoting the offer despite the absence of an application for IPO registration. The SEC expressed concern over these activities, stating they could mislead investors and undermine market confidence.

The commission directed all capital market operators, particularly stockbrokers, to cease promotional activities related to the alleged public offer and to remove related materials from websites and social media within 24 hours. Additionally, the SEC instructed operators to refund any money already collected from investors within the same timeframe and warned that violations would result in sanctions under the Investment Securities Act of 2025.

The SEC reassured investors that a legitimate public offer would be approved in due course.