Femi Otedola to Invest $100 Million in Dangote Refinery IPO Plan

Nigerian billionaire Femi Otedola has announced a planned investment of $100 million in the Dangote Petroleum Refinery, a major step in the refinery's fundraising efforts ahead of a future public listing. Otedola, the chairman of First HoldCo, revealed his intention on Wednesday following a tour of the refinery complex in Lagos with his company's executives.

The investment is part of a broader $2 billion private placement being sought by the Dangote Group from private investors. Aliko Dangote, president of the Dangote Group and Africa's richest man, confirmed the $2 billion target during Otedola's visit. This private placement precedes an initial public offering for the refinery, which is expected later this year, though a specific date has not been set.

Otedola stated that his planned $100 million allocation in the private placement was part of his compensation for his involvement with the project, noting he had visited the site multiple times. He also indicated he intends to fund this investment with proceeds from the recent sale of his stake in Geregu Power, an electricity generation company.

The Dangote Petroleum Refinery, located in the Lekki Free Trade Zone and described as...