Nigerian billionaire investor Femi Otedola has sold his stake in Geregu Power Plc and committed $100 million to the upcoming public offering of the Dangote Petroleum Refinery, in a major capital shift that signals growing investor confidence in Africa’s largest energy project.
Otedola, who serves as Chairman of First HoldCo, disclosed the move following a recent visit and corporate tour of the 650,000-barrel-per-day refinery located in Ibeju-Lekki, Lagos, describing the facility as a transformative industrial asset capable of reshaping Africa’s energy independence.
He said his decision was informed by repeated visits to the refinery and a strong belief in its long-term economic impact.
“What Aliko Dangote has achieved is helping to liberate the continent from economic dependency and import reliance,” Otedola said, adding that he had visited the facility more than 25 times before deciding to reallocate his investments.
The divestment from Geregu Power Plc, an electricity generation company Otedola previously helped list on the Nigerian Exchange — is aimed at positioning him for entry into the Dangote Refinery’s pre-IPO private placement round.
The $100 million commitment places Otedola among the early high-net-worth investors targeting equity in the multi-billion-dollar project ahead of its broader market listing.
Financial analysts say early-stage entry into the refinery structure could offer significant valuation advantages compared to post-IPO pricing.
The Dangote Petroleum Refinery, owned by Aliko Dangote, is preparing to raise an estimated $2 billion through private placements before a planned listing on the Nigerian Exchange (NGX).
The refinery, one of the largest in the world, currently has a refining capacity of 650,000 barrels per day, with expansion plans targeting up to 1.4 million barrels per day in the future. The proposed valuation for the broader listing is estimated at around $50 billion.
Investor demand has reportedly exceeded the initial private placement target, reflecting strong appetite for exposure to the project ahead of its public debut.
Dangote has also indicated that the eventual public offering will be structured to include wider participation from retail investors, positioning the listing as a long-term wealth creation opportunity for ordinary Nigerians and Africans.
He compared the vision to early investments in global tech giants, noting that the aim is to allow everyday investors to benefit from the refinery’s long-term value creation.
“We want ordinary Africans to participate in the value being created, to grow with us, and to share in this prosperity,” he said.
Beyond the Lagos refinery, Dangote Group is also reportedly exploring further expansion plans, including potential cross-border listings and the development of additional refining capacity in other parts of Africa, as part of a broader strategy to strengthen regional energy independence.
