Dangote seeks wider African exchange access for refinery shares
The $1.6 billion offering attracted nearly $5 billion in orders, but national listing rules are complicating plans to reach more investors.
Nigeria’s Dangote Group is seeking ways for investors to buy shares in its Lagos refinery through additional African stock exchanges, with differences between national listing requirements complicating the effort.
The refinery’s initial public offering launched in September. The $1.6 billion sale received orders approaching $5 billion, and the shares are due to begin trading on the Nigerian exchange.
One route under consideration involves Global Depositary Receipts, certificates that can be traded and represent underlying shares. Similar arrangements are used in Kenya and Botswana.
The head of BRVM, the regional exchange based in Abidjan, has called on African regulators to recognize one another’s rules. The exchange chief said the necessary technology was available, while the regulatory framework was lacking.
