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October 1, 2026 - 1:02 AM

Dangote Refinery IPO: Analysts See Strong Upside From N525 Offer Price

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Dangote Petroleum Refinery could be worth significantly more than its proposed Nigerian Exchange Group listing value, according to fresh valuations from CardinalStone Research and Chapel Hill Denham.

The two investment firms independently valued the refinery between N77.7 trillion and N82.62 trillion, compared with the N65.22 trillion indicative market capitalisation attached to its planned Initial Public Offering.

The News Chronicle reports that Dangote Refinery plans to offer 4.1 billion new shares at N525 each, alongside 120.13 billion existing shares. If fully subscribed, the offer could raise about N2.15 trillion.

READ MORE: Dangote Refinery Secures $1bn Backing Ahead of Planned IPO

CardinalStone’s 12 month valuation puts the company at N77.7 trillion, while Chapel Hill Denham estimates its fair value at N82.62 trillion. Both firms expect stronger earnings as refinery operations expand.

Dangote Refinery recorded $13.91 billion in revenue and $1.82 billion profit after tax in the first half of 2026, a major turnaround from its $475.8 million loss in 2025.

The company also plans to double refining capacity from 700,000 barrels per day to about 1.4 million barrels per day.

However, analysts warn that the projected upside depends on sustained profits, strong refining margins and successful execution of the expansion plan.

With subscriptions expected to open September 14, investors will ultimately decide whether the N525 offer price represents value.

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