Billionaire businessman Femi Otedola has revealed that he sold his stake in Geregu Power Plc to position himself for investment in the planned initial public offering (IPO) of the Dangote Petroleum Refinery, underscoring growing investor confidence in what is increasingly seen as one of Africa’s most strategic industrial projects.
Femi Otedola says he sold his stake in Geregu Power to secure a position in Dangote Refinery’s planned IPO.The billionaire described the refinery as a transformative project capable of reducing Africa’s dependence on imported fuel.Aliko Dangote revealed that investor demand for the refinery’s private placement has already exceeded $2 billion.The company also unveiled plans for a new 700,000-barrel-per-day refinery project in East Africa.
Otedola disclosed this during a visit by the board and management of FirstHoldCo to the 650,000-barrel-per-day refinery and Dangote Fertiliser Limited in Ibeju-Lekki, Lagos.
Standing beside Africa’s richest man, Aliko Dangote, Otedola described the refinery as a transformative project capable of reducing Africa’s dependence on imported petroleum products while reshaping the continent’s industrial future.
“He is a genius and one of the greatest men to emerge from Africa,” Otedola said during the tour. “What he has achieved is helping to liberate the continent from economic dependency and import reliance.”
The billionaire investor disclosed that he had repeatedly sought an allocation of $100 million worth of shares in the refinery’s private placement, adding that the move ultimately influenced his decision to exit Geregu Power.
“I have visited this refinery more than 25 times, and I have consistently appealed for $100m worth of shares during the private placement. That informed my decision to sell my stake in Geregu so I can reinvest in the Dangote Petroleum Refinery,” he said.
The comments come as investor appetite for the refinery’s anticipated listing on the Nigerian Exchange intensifies. Dangote disclosed that demand for the private placement had already surpassed $2 billion, reflecting strong local and international interest in the project.
“There is significant interest in both the IPO and the private placement. While we are not able to meet all requests, the strong demand reflects investors’ confidence in the refinery and in Africa’s industrial future,” Dangote said.
L-R: Chairman Dangote Refinery, Aliko Dangote and Tanzania’s President Samia Hassan. [X, formerly Twitter/@ikulumawasliano]
Dangote also signalled ambitions beyond Nigeria, revealing plans for a proposed 700,000-barrel-per-day refinery in East Africa, alongside polypropylene and base oil production facilities that could commence within the next three to four years.
According to him, the refinery’s eventual IPO would be structured to allow ordinary Nigerians and Africans to participate in the company’s growth story.
“We want ordinary Africans to participate in the value being created. What companies like Amazon and Apple achieved globally in terms of wealth creation is what we seek to replicate in Africa,” Dangote said.
Chief Executive Officer of FirstBank Group, Olusegun Alebiosu, described the refinery as a symbol of industrial ambition capable of inspiring similar large-scale investments across the continent.
“If you see this refinery and realise that an individual conceived and delivered a project of this magnitude, already helping to stabilise energy supply across Africa, you cannot help but be inspired,” Alebiosu said.
