The approval allows eligible investors in Uganda to participate in the refinery’s initial public offering (IPO), extending the reach of the major Nigerian fundraising exercise into another East African market. However, the Ugandan regulator has placed conditions on how the investment can be marketed and distributed.
Under the arrangements, the offer must be handled through investment firms licensed by the CMA. SBG Securities Uganda has so far received approval to market and distribute the shares. The regulator has also stressed that its authorization should not be interpreted as an endorsement of the refinery or a recommendation that investors purchase the securities.
The Dangote refinery, located near Lagos, began commercial operations in 2024 and currently has the ability to process around 700,000 barrels of crude oil per day. Its public offering, launched in September, aims to raise approximately $1.6 billion. The expansion aims to increase processing capacity to about 1.4 million barrels per day.
Uganda is not the only East African country opening its market to the offering. Kenya recently approved a structure allowing eligible Kenyan investors to participate through global depository receipts, creating another channel for regional investment in the Nigerian project.
The cross-border availability of the shares reflects the growing effort to connect African capital markets and provide investors with opportunities beyond their domestic exchanges. At the same time, Ugandan authorities have warned prospective participants to consider currency movements, taxation, custody arrangements and other risks associated with investing in a company listed outside the country.
The Dangote IPO is scheduled to close on October 13, with the company seeking to attract millions of investors as it works to finance its long-term expansion plans.
Uganda’s approval gives local investors a new opportunity to participate in one of Africa’s largest energy projects, while strengthening financial connections between East and West African markets and encouraging greater cross-border investment.
