Femi Otedola
Billionaire businessman Femi Otedola has revealed that he divested his holdings in Geregu Power Plc to free up capital for investment in the planned initial public offering of Dangote Petroleum Refinery, which he described as a game-changing venture capable of cutting Africa’s reliance on imported fuel products.
Otedola made the revelation while accompanying the board and executives of FirstHoldCo on a tour of the 650,000 barrels-per-day refinery and Dangote Fertiliser Limited located in Ibeju-Lekki.
READ MORE: “They Told Tinubu I Wanted Him Dead” — Shettima Reveals Strange Allegation
Speaking during the visit, the chairman of FirstHoldCo urged Aliko Dangote, president of the Dangote Group, to reserve $100 million worth of shares for him once the refinery is listed on the stock market.
According to Otedola, Dangote’s achievements rank among the most significant industrial milestones on the continent, noting that the refinery project would help Africa reduce import dependence and strengthen economic self-sufficiency.
“He is a visionary and one of Africa’s most remarkable entrepreneurs. His accomplishments are contributing to the continent’s economic independence and reducing dependence on imports,” he stated.
Otedola added that he had toured the refinery more than 25 times and repeatedly requested an allocation of $100 million in shares during the private placement phase. He explained that this ambition influenced his decision to dispose of his Geregu stake so he could channel the proceeds into the refinery investment.
He also voiced optimism about the refinery’s proposed expansion to 1.4 million barrels per day, stressing that rising demand for refined petroleum products across Africa makes further investment in local refining increasingly necessary.
In his remarks, Dangote assured that the refinery’s public listing would allow everyday Nigerians to own shares and benefit from the wealth expected to be generated by the project.
“We want ordinary Africans to share in the value being created. Just as global giants like Amazon and Apple generated wealth for investors worldwide, we aim to create similar opportunities in Africa. We want people to invest alongside us and benefit from the growth,” Dangote said.
Dangote also unveiled plans for a proposed refinery project in East Africa with an estimated refining capacity of 700,000 barrels per day. The project is expected to include polypropylene and base oil production plants and could begin within the next three to four years once construction commences.
He explained that the proposed expansion was not initially included in the company’s Vision 2030 blueprint, highlighting the group’s progress toward surpassing its long-term business goals.
The industrialist further pointed to the group’s dominance across key sectors in recent years, including cement production operations spanning 11 African nations, as well as major investments in refining, fertiliser, and petrochemicals.
Dangote disclosed that the company’s cement production capacity has risen to 55 million tonnes annually, backed by clinker export terminals designed to deepen regional trade integration.
“We have established businesses that tackle Africa’s pressing challenges while creating enduring economic value. Africa cannot continue exporting raw materials while importing finished goods because that simply exports jobs and imports poverty,” he said.
Chief Executive Officer of FirstBank Group, Olusegun Alebiosu, described the refinery as a bold symbol of innovation, determination, and industrial progress capable of motivating similar transformational investments across the continent.
“If you witness a project of this scale conceived and delivered by one individual, already contributing to energy stability across Africa, it is impossible not to feel inspired,” Alebiosu noted.
He added that delegates from the United Kingdom and various African countries who participated in the visit would likely return home encouraged to pursue industrial projects capable of reshaping their economies.
Dangote also revealed that investor interest in the refinery’s proposed listing on the Nigerian Exchange has remained overwhelming, with subscriptions for the private placement already surpassing $2 billion.
“There is enormous demand for both the IPO and private placement. Although we cannot satisfy every request, the level of interest demonstrates strong investor confidence in the refinery and in Africa’s industrial potential,” he added.
About The Author
