- Nigeria’s SEC has halted all promotions tied to a purported Dangote Refinery share sale, saying no IPO has been approved or filed.
- The regulator warned investors against subscribing to any offers and ordered refunds of any funds collected.
- The move comes amid intense interest in the refinery’s planned public listing.
- A future IPO is still expected but has not yet received regulatory clearance.
The regulator said no application for an initial public offering (IPO)or public share sale by the refinery has been filed or approved, despite advertisements, digital campaigns and <a href="https://usglobalxpress.com/british-international-investment-channels-1-07bn-into-african-businesses/” title=”British International Investment Channels £1.07bn into African Businesses”>investment solicitations circulating across social media and investment platforms
The warning comes as anticipation builds around a planned public listing of the over $20 billion refinery, Africa’s largest and one of the continent’s most strategically important industrial assets
In a notice issued on Tuesday, the SEC said some registered capital market operators had been promoting the purported offer, soliciting advance subscriptions and encouraging investors to fund accounts ahead of a transaction that does not yet exist in regulatory terms
The commission described the activity as misleading and manipulative, warning that it could distort market expectations, create information asymmetry and undermine confidence in Nigeria’s capital market
It ordered operators to stop all promotional activities immediately, remove related materials within 24 hours and refund any money already collected from investors
The intervention shows the high level of interest surrounding a future Dangote Refinery listing
In May, Aliko Dangote said the company was targeting a September IPO for the refinery business after the facility reached full processingcapacity of 650,000 barrels per day earlier this year
The refinery, located in Lagos’ Lekki Free Zone, is the world’s largest single-train refinery and has rapidly become central to Nigeria’s efforts to reduce dependence on imported fuel
Last month, Nigeria’s National Pension Commission granted pension fund managers a special waiver to participate in the proposed IPO, a rare move reflecting the refinery’s strategic importance to the country’s economy
The exemption allows pension funds to consider the offering even though the company does not yet meet some of the conventional requirements applied to newly listed firms
The refinery is also pursuing a private capital raise ahead of the proposed listing. The company had earlier this month sought approximately $1 billion through a private placement that values the business at about $39 billion
Market observers believe the eventual IPO could rank among the largest ever undertaken on the continent. Estimates circulating among analysts have suggested a valuation of between $40 billion and $50 billion, potentially making it one of Africa’s most significant equity offerings
The listing is expected to be closely watched not only because of its size but also because of the refinery’s growing influence over regional fuel markets
Since commencing operations, the facility has reshaped fuel supply dynamics in Nigeria, expanded exports across West Africa and become a central player in debates over fuel imports, domestic refining policy and market competition
In recent months, the refinery has also been involved in disputes with regulators and industry participants over fuel import licences and competition in Nigeria’s downstream sector
For now, however, the SEC has made clear that investors should ignore any invitation to buy shares, secure allocations or participate in pre-IPO placements linked to the refinery
The commission said any future public offering would begin with a formal filing, regulatory approval and an official prospectus made available to investors through approved channels