Billionaire businessman and philanthropist Femi Otedola has pledged to invest $100 million in the upcoming Initial Public Offering (IPO) of Dangote Petroleum Refinery and Petrochemicals, describing the move as a strategic reallocation of capital from power generation into what he views as one of the most transformative industrial assets on the continent.
Otedola made the announcement on Wednesday, while leading the board and senior executives of First Holdco Plc on a high-profile visit to the massive 650,000 barrels-per-day refinery complex in the Lekki Free Trade Zone, Lagos.
The Chairman of First Holdco explicitly linked the investment to his earlier divestment from Geregu Power Plc, saying the proceeds would now support his participation in the Dangote Refinery IPO.
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“On a personal note, I’ve appealed to him [Aliko Dangote]; I have been here with him 25 times. So, my compensation is that he is going to allocate to me shares worth $100 million in the private placement. That is one of the reasons why I sold my stake in Geregu plant to come and invest my proceeds in the IPO of the Dangote Refinery,” he said.
He heaped praise on Aliko Dangote, calling him “a colossus, a genius, probably one of the greatest men that has come out of Africa” for his role in reducing the continent’s dependence on imported goods and “delivering us out of economic slavery.”
Overwhelming Demand Points to Likely Oversubscription
Otedola’s substantial commitment adds to already intense investor interest in the refinery. Aliko Dangote revealed that the company has received requests worth nearly $2 billion for the targeted private placement ahead of the IPO, far exceeding initial expectations.
“Right now, when we even say we are going to do private placement, already we have people who have actually requested to buy. And we have an amount of almost $2 billion. We are not selling up to that but we’ll see what we can allocate to them,” he said.
Analysts believe the IPO is highly likely to be heavily oversubscribed given the strong interest from high-net-worth individuals, institutional investors, and the public. With only about 10% of the company currently earmarked for public offering, many observers expect Dangote Group may need to expand the public portion of the IPO to accommodate demand and avoid significant disappointment among retail and institutional investors.
The company is targeting a September 2026 listing, with advisers still finalizing valuation and pricing. The IPO is intentionally structured to encourage broad participation, including from smaller retail investors across Nigeria and Africa.
The Dangote Refinery, widely regarded as the largest single-train refinery in the world, is expected to produce up to 75 million liters of Premium Motor Spirit (petrol) daily, along with diesel, jet fuel, and petrochemicals. Once fully operational, it is projected to account for roughly 10% of U.S. refining capacity and generate one of the largest corporate revenues in Africa.
Aliko Dangote described the project in ambitious terms, comparing its long-term potential to global giants such as Amazon and Apple, and emphasizing its role in reshaping regional energy security and industrial capacity.
Otedola had earlier projected in February 2026 that the successful full operation of the refinery could help strengthen the naira beyond N1,000 to the dollar by year-end by drastically cutting Nigeria’s fuel import bill.
The high level of interest from prominent local billionaires like Otedola reflects growing confidence among African capital owners in home-grown industrial mega-projects. It also signals a shift toward greater domestic ownership of strategic national assets.
For Nigeria, the refinery represents a potential game-changer — reducing reliance on imported refined products, conserving foreign exchange, creating thousands of direct and indirect jobs, and serving as a catalyst for downstream industries. Analysts have touted a successful IPO to also deepen Nigeria’s capital markets and set a precedent for large-scale local listings.
Against that backdrop, Otedola’s very public $100 million commitment is seen as more than a personal investment. It is believed to be a powerful vote of confidence in Dangote’s vision and Nigeria’s industrial future. Combined with the overwhelming demand already recorded, it strongly suggests the Dangote Refinery IPO will be one of the most keenly contested offerings in African market history.