Dangote Petroleum Refinery and Petrochemicals (DPRP) has successfully completed a landmark US$2.5 billion private equity placement, marking what is believed to be Africa’s largest publicly disclosed primary equity private placement by value.
The company announced that the offering was 3.7 times oversubscribed compared to its initial offer size, resulting in the issuance and allotment of approximately US$2.5 billion in new equity.
The transaction represents DPRP’s first private equity capital raise involving external investors beyond its existing shareholder base, marking a major milestone in its long-term funding strategy and the continued development of African capital markets.
According to the company, proceeds from the private placement will be used to support the ongoing expansion of its refinery and petrochemical complex, strengthen its capital structure and provide greater financial flexibility for future growth.
The offering attracted strong interest from a broad range of international and African institutional investors, sovereign-related investment vehicles, development finance institutions and strategic partners, including the African Finance Corporation (AFC) and India Infra Buildco, an investment vehicle facilitated by the African Export-Import Bank (Afreximbank).
President and Chief Executive of Dangote Industries Limited and Chairman of DPRP, Aliko Dangote, described the transaction as a strategic step towards expanding the company’s shareholder base while raising capital to complement internal cash flows and external financing.
He said the investment reinforces the company’s commitment to expanding domestic refining and petrochemical capacity, reducing Africa’s dependence on imported refined petroleum products and strengthening the continent’s energy security.
Managing Director and Chief Executive Officer of Dangote Petroleum Refinery and Petrochemicals, David Bird, said the overwhelming investor interest reflects confidence in the company’s operational strength, execution capability and long-term growth strategy.
Following the successful completion of the private placement, DPRP said it is well positioned to continue executing its long-term expansion plans while strengthening Africa’s energy security through world-class refining and petrochemical capacity.
The company also acknowledged the contributions of its professional advisers for their role in successfully delivering the transaction.
