Dikkasmedia
Nigeria’s capital market could experience a significant expansion in investor participation through the ongoing initial public offering (IPO) of Dangote Petroleum Refinery, according to Temi Popoola, chief executive of Nigerian Exchange Group (NGX). Popoola said the share sale could increase the number of active investors in the country’s capital market fivefold, potentially bringing millions of Nigerians into the investment sector.
Speaking to Dikkasmedia on Thursday, October 22, 2026, during the Financial Times Africa Summit, Popoola explained that the offering could broaden access to investment opportunities beyond the relatively small proportion of Nigerians currently participating in the capital market. He estimated that approximately 12 million Nigerians participate in capital markets, representing around five per cent of the population, while only hundreds of thousands actively trade.
The refinery’s $1.6 billion IPO, launched by billionaire industrialist Aliko Dangote, is among the most closely watched capital-market transactions in Nigeria. The offering is intended to attract retail investors and give members of the public an opportunity to invest in one of the country’s largest industrial projects.
According to Popoola, the exchange is exploring ways to make participation more accessible, including using digital platforms and mobile-phone-based channels to reach potential investors who may not routinely use traditional investment services. Lowering practical barriers to participation could help expand the market’s investor base.
The NGX chief also highlighted efforts to strengthen cooperation between African stock exchanges. He said the refinery offering was helping promote closer connections between Nigeria’s market and exchanges in countries including Egypt, Kenya, Botswana and Ethiopia through depositary receipt arrangements, subject to the relevant approvals.
A broader investor base could improve liquidity in Nigeria’s capital market and provide businesses with additional opportunities to raise funds for expansion. Increased participation may also encourage more companies to consider listing their shares, giving investors access to a wider range of investment options.
However, the success of the initiative will depend on investor confidence, transparent disclosures and public understanding of the risks associated with buying shares. An IPO does not guarantee profits, and investors can lose money if a company performs poorly or its share price declines.
The offering is scheduled to run until the end of October, with the exchange hoping it will help deepen domestic investment and strengthen Nigeria’s position in African capital markets.
Dikkasmedia
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