How Nigerians Can Buy Dangote Refinery Shares

By Samuel Mobolaji

The question on the minds of many Nigerians following the approval of Dangote Refinery’s Initial Public Offering (IPO) by the Securities and Exchange Commission (SEC) is straightforward: how can ordinary investors buy the shares?

The answer is that interested investors will have to participate through the approved public offering process when the subscription window opens.

The SEC has approved the offer of 4.1 billion shares of Dangote Refinery at ₦525 per share. If fully subscribed, the offer is expected to raise about ₦2.15 trillion.

The order book is expected to open on September 14, 2026.

At the approved offer price of ₦525 per share, an investor would need ₦5,250 to buy 10 shares, ₦10,500 for 20 shares, ₦26,250 for 50 shares, ₦52,500 for 100 shares, ₦105,000 for 200 shares, ₦262,500 for 500 shares and ₦525,000 for 1,000 shares.

However, these figures are based only on the approved offer price. Prospective investors will need to check the final prospectus for the minimum subscription, applicable charges, allotment rules and other conditions before submitting their applications.

How to buy the shares

The first step for a prospective investor is to have an account with an NGX registered stockbroker.

The Nigerian Exchange requires investors who want to buy securities through the primary or secondary market to appoint a registered Trading License Holder to facilitate their transactions. Investors will also be required to meet the applicable Know Your Customer (KYC) requirements.

The next step is to complete the necessary capital market registration. A stockbroker will guide investors through the process and the required documentation.

Investors may also require a Central Securities Clearing System (CSCS) account, where their securities are held electronically. CSCS is the licensed central depository for Nigeria’s capital market.

Another option for participating in public offers is the NGX Invest platform, which provides a digital channel for public offers and rights issues.

According to NGX, investors using the platform can create an account, complete their Bank Verification Number (BVN) and date of birth verification and provide their Clearing House Number (CHN) or CSCS account number.

New investors can initially skip the CHN or CSCS section and complete their profile later.

Once the Dangote Refinery offer becomes available through an authorised platform, investors can select the offer, choose their preferred broker, indicate the number of shares they want and make payment through the approved process.

Beware of fraudsters

The huge public interest expected to accompany the Dangote Refinery IPO could also create an opportunity for fraudsters to target unsuspecting investors.

Prospective investors should therefore avoid sending money to individuals, WhatsApp groups, social media accounts or unofficial websites claiming to be selling Dangote Refinery shares.

Investors should rely on the official offer documents and authorised capital market channels when applying for the shares.

Buying shares does not guarantee profit

While the ₦525 offer price provides an entry point for investors, buying the shares does not guarantee that they will make a profit.

The IPO price is the price at which the shares are being offered to investors. It does not guarantee that the share price will rise after the company is listed on the Nigerian Exchange.

Once trading begins, the market price could rise or fall depending on several factors, including the refinery’s earnings, production levels, crude oil supply, petroleum product prices, foreign exchange movements, dividends, expansion costs, investor sentiment and wider economic conditions.

What happens if the offer is oversubscribed?

Another major issue investors will be watching is whether demand for the shares exceeds the number available under the offer.

If applications exceed the shares on offer, investors may receive fewer shares than they applied for, depending on the allotment rules contained in the final offer documents.

For instance, an investor who applies for 1,000 shares should not automatically assume that all 1,000 shares will be allotted.

The final prospectus and terms of the offer will determine how any oversubscription is handled.

Is ₦525 cheap or expensive?

The question of whether ₦525 represents a cheap or expensive price is more complicated than simply looking at the cost of one share.

The SEC approved the offer at ₦525 per share, while the registration of 120.13 billion existing shares implies a substantial valuation for the refinery.

Reuters has calculated the implied valuation at about $47 billion.

For investors, the more important consideration is therefore the value of the entire company rather than the price of an individual share.

They will need to consider the refinery’s profitability, its potential for earnings growth, debt obligations, expected dividends, expansion plans and the potential return on their investment.

The Dangote Refinery IPO could provide ordinary Nigerians with an opportunity to own shares in one of the country’s largest industrial projects.

However, investors should avoid making decisions based solely on the popularity of the Dangote brand or expectations that the share price will rise after listing.

With the offer expected to open on September 14, prospective investors should study the final prospectus, understand the risks involved and use only authorised capital market channels before committing their money.