President of Dangote Industries Limited, Aliko Dangote, has projected a significant long-term increase in the value of shares in the Dangote Petroleum Refinery, saying the current offer price of N525 could eventually climb to N10,000.
Dangote also said small-scale investors would be given priority in the allocation of shares under the refinery’s planned Initial Public Offering.
He made the remarks in Hausa during an interview with Abis Fulani, which was translated using Google Gemini. The discussion focused on the refinery’s proposed IPO and the prospects for investors.
The interview, published on Thursday, attracted widespread attention on Saturday.
According to Dangote, investors seeking relatively small allocations, including those willing to invest N50,000 or N100,000, would be prioritised ahead of major institutional investors during the allocation process.
He said, “When you do something like this—what is called an IPO—all the small-scale investors are the ones who will be given priority first.
“The big institutional investors who request large allocations will not get everything they ask for. But the small retail investors who want to buy N50,000 worth, or some buying N100,000 worth, and so on, they are the ones who will be given priority allocations.”
Dangote explained that any shares left after the priority allocation to retail investors would subsequently be distributed among other applicants.
On the potential appreciation of the refinery’s shares, the businessman said investors who purchase them at the current offer price could benefit substantially if the market value rises in the future.
He said, “As I was saying, this share, if you look at it, we are currently at N525. A day will come when this share will reach N10,000.
“Therefore, if you hold it, having bought it, and it rises to N10,000, where you previously invested N5m, it will now be worth over N50m. You see, you have become wealthy.”
Dangote further disclosed that shareholders would have the option of receiving dividends either in naira or US dollars, a provision he said could offer some protection against the impact of currency depreciation.
He said the dollar-denominated dividend option could also be useful to Nigerians who have financial commitments outside the country, particularly parents funding the education of their children in the United Kingdom.
Dangote said, “The benefit of buying it is that holding this share will not prevent you from carrying out your regular work. You hold this share, and when dividends are paid, you won’t need to fear currency devaluation.
“That is because you can choose to receive your dividend in Naira or in Dollars. If you have a child studying at a school in England, for example, even if there is economic instability or currency devaluation—may God protect us—having this means what you receive is in Dollars.”
He recalled the sharp fall in the value of the naira against the dollar, noting that the exchange rate had moved from around N400 to the dollar to about N1,800.
“So your child won’t have to… avoid exchange rate shocks, like when rates moved from N400 up to N1,800.
“Most children were brought back home as a result. So what we want to prevent is that kind of situation,” he said.
The Dangote Petroleum Refinery IPO involves 4.1 billion ordinary shares priced at N525 per share. If fully subscribed, the offer is expected to generate approximately N2.15tn.
The minimum subscription is 10 shares, requiring an investment of N5,250. The offer is scheduled to open on September 14 and close on October 13, 2026.
Following the closure of the offer, applications will be processed before investors are notified of their respective allotments. Investors should, however, not assume that applying for a particular number of shares guarantees the allocation of the full quantity requested, especially where the offer is oversubscribed.
The refinery’s shares are expected to be listed on the Nigerian Exchange Main Board after the allotment process. Their subsequent market value will be influenced by demand and supply.
Although Dangote has projected that the shares could eventually reach N10,000, the N525 offer price does not constitute a guarantee of future returns or market performance.
The share price could fluctuate following listing in response to factors including the refinery’s financial performance, investor sentiment, refining margins, petroleum demand and prevailing economic conditions.
Proceeds from the IPO are expected to contribute to the refinery’s expansion programme. The company plans to increase its refining capacity from approximately 650,000–700,000 barrels per day to 1.4 million barrels per day.
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