NAIROBI, Kenya, Oct 13 – Dangote Petroleum Refinery and Petrochemicals has extended its initial public offering (IPO) deadline by two weeks to October 27, giving investors more time to buy shares in the Nigerian refinery.
The extension was approved by Nigeria’s Securities and Exchange Commission to allow more investors to participate through expanded distribution channels and depositary receipt programmes.
The offer, which opened on September 14, seeks to raise funds through the sale of 4.1 billion ordinary shares at 525 naira each.
Dangote Petroleum Refinery and Petrochemicals Managing Director and CEO David Bird said the extension would give prospective investors more time to complete the requirements for participating in the offer.
The company said it had received interest from investors in Africa and other markets, with some still completing account opening, identity verification and regulatory procedures.
Under the revised timetable, application returns will be collated by November 3, while the proposed share allocation will be submitted to the SEC on November 10. Regulatory clearance of the allocation is expected by November 17.
The refinery expects trading in the shares to begin in early December, subject to completion of the required processes.
The extension also gives Kenyan investors more time to participate through a Global Depositary Receipt (GDR) arrangement approved for the local market.
Each GDR is priced at Sh53.50, with the minimum subscription reduced to 10 receipts worth Sh535, down from 2,000 receipts costing Sh107,000.
The lower entry threshold reduces the initial amount required from retail investors, although participation remains subject to the offer terms, regulatory requirements and transaction costs.
