Otedola Plans $100m Investment in Dangote Refinery Ahead of IPO

Billionaire businessman Femi Otedola has announced plans to invest $100 million in the upcoming private placement of Dangote Refinery.

Otedola disclosed this after leading executives of First HoldCo on a visit to the refinery owned by Aliko Dangote.

The investment forms part of the refinery’s planned $2 billion capital raise from private investors ahead of its proposed initial public offering (IPO).

Speaking during the visit, Otedola said he had requested an allocation of shares worth $100 million in the private placement, adding that he intends to channel proceeds from the sale of his stake in Geregu Power into the refinery investment.

Dangote had earlier revealed plans to list up to 10 percent of the refinery on the Nigerian stock market through a cross-border IPO aimed at attracting both local and foreign investors.

The refinery project, regarded as one of Africa’s largest industrial investments, is expected to broaden investment opportunities for Africans and support industrial development across the continent.

Recent reports by Bloomberg indicated that the refinery could be valued at as much as $50 billion ahead of the listing.

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