Dangote refinery raises $2.5 billion in private placement, executive says

 Nigeria’s Dangote Petroleum Refinery has raised $2.5 billion through ​a private placement as it ‌seeks to strengthen its financing structure, company executive Devakumar Edwin confirmed on Friday.

The ​capital raised ahead of a ​planned IPO this year is expected ⁠to help fund the refinery’s expansion ​as it ramps up operations and ​expands in domestic and export fuel markets.

The 650,000-bpd refinery, which started production in 2024, ​has ramped up output of diesel, ​jet fuel, naphtha and petrol, sharply cutting Nigeria’s ‌reliance ⁠on fuel imports.

Last month, sources familiar with the deal told Reuters the refinery was offering 3 billion ​ordinary shares ​at $0.35 each, ⁠with demand already topping $2 billion.

Investors were required to subscribe ​for at least 1 million ​shares, ⁠worth $350,000, with additional purchases in blocks of 500,000 shares. The shares will ⁠be ​subject to a ​365-day lock-up, sources said.

(Reporting by Chijioke Ohuocha; Writing by ​Elisha Bala-Gbogbo; Editing by Louise Heavens)