Capital markets regulator begins stakeholder talks as Rwandans show interest in acquiring shares in Nigeria’s 650,000-bpd refinery…..
The ongoing share sale by Dangote Petroleum Refinery is attracting attention beyond Nigeria, with Rwanda’s capital markets regulator moving to facilitate access to the offer for investors in the East African country.
The Capital Markets Authority of Rwanda said it is engaging relevant stakeholders to establish a framework that will enable Rwandan investors to participate in the initial public offering of the Nigerian refinery.
The development signals growing interest in the Dangote Refinery offering across African investment markets, as investors look beyond their domestic exchanges for opportunities in major businesses.
In a statement on Thursday, the CMA said it had observed strong interest in opportunities available through capital markets and was working to respond to the interest surrounding the Dangote IPO.
“The Capital Markets Authority of Rwanda is working with relevant stakeholders to facilitate participation by Rwandan investors in the Dangote Petroleum Refinery IPO,” the regulator said.
“We are encouraged to see the strong interest in the opportunities afforded by capital markets.”
Rwandans can register interest
While the framework for participation is being worked out, prospective investors in Rwanda have been given an opportunity to indicate their interest in the offer.
The CMA said interested investors can register through United Capital Financial Services Rwanda Ltd using its designated platform.
However, the regulator cautioned investors against interpreting the registration as an actual application for shares.
“Registration of interest does not constitute a subscription for, or allocation of, shares,” the CMA said.
The authority added that more information on the arrangements for participation would be released once the necessary processes have been completed.
This means prospective Rwandan investors will still have to wait for the regulator to provide the full details governing how they can subscribe to the Nigerian offer.
Dangote Refinery seeks wider ownership
The development comes as Dangote Petroleum Refinery presses ahead with its IPO in Nigeria, where the company is seeking to broaden ownership of its massive refining operation.
The refinery is raising capital through the Nigerian Exchange as it moves towards a public listing, offering investors an opportunity to acquire shares in the 650,000-barrel-per-day facility.
The IPO represents a significant step in the refinery’s ownership structure, potentially bringing a wider pool of investors into one of Nigeria’s most closely watched industrial assets.
Investor interest in the offer has already been strong in Nigeria. Dangote Industries Limited had previously disclosed that demand for the shares had exceeded the quantity available under the offer.
The potential participation of Rwandan investors could further expand the geographical reach of the IPO and introduce another category of African investors to the share sale.
Refinery draws regional attention
Located in Lagos, the Dangote Refinery has a production capacity of 650,000 barrels per day and is positioned as a major player in Nigeria’s petroleum refining and supply chain.
Its IPO is therefore being watched not only as a capital-raising exercise but also as an opportunity for investors to gain exposure to a major African industrial project.
The interest from Rwanda also comes at a time when Dangote Group is pursuing broader ambitions across the continent.
On April 23, Aliko Dangote, chairman of Dangote Group, said the company planned to replicate its Nigerian refinery model in East Africa, with the backing of governments in the region.
The proposed expansion would build on the group’s experience with the Nigerian refinery and could further deepen its footprint in Africa’s energy sector.
For the immediate term, however, attention remains on the ongoing Nigerian IPO and efforts to make the offer accessible to investors outside Nigeria.
Rwanda’s CMA said it would provide additional information on the participation arrangements once the process with relevant stakeholders is concluded.
