African billionaire Aliko Dangote is establishing a dedicated investment vehicle in Kenya to allow local investors to buy into the Dangote Group ahead of the planned pan-African initial public offering of his petroleum refinery.
The investment structure will enable investors to participate in the group before the refinery’s IPO, with all returns set to be paid in US dollars as the World Bank Group backs what is being described as Africa’s largest industrial ownership initiative.
The revelation emerged during an interview with Makhtar Diop, where Dangote singled out Kenya as a strategic gateway for investors beyond the secondary listing on the Nairobi Securities Exchange first reported by Bloomberg in April.
The Kenya-based vehicle forms part of a wider ownership restructuring within Dangote Industries, the parent company, which Dangote noted has never issued external dividends.
“In Kenya, we put up a vehicle, and all investment will be done there. When investors want to sell down, they can always do so because there is a certificate. You can take your capital out at any time,” Dangote explained.
Diop reaffirmed institutional backing for the initiative, saying Africa’s industrialisation would depend heavily on investors willing to support large-scale ventures.
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The Dangote refinery, once dismissed by major corporations and trading firms as unrealistic, achieved its full processing capacity of 650,000 barrels per day in February 2026 after a US$20 billion (KSh2.59 trillion) investment. The International Finance Corporation was among its early financiers, having provided a US$478 million loan in 2005, which Dangote cleared within 18 months despite a seven-year repayment timeline.
Dangote also disclosed that the conglomerate has consistently reinvested profits back into expansion instead of paying shareholder dividends.
“The parent company, Dangote Industries, has never given dividends. I have never taken one dime out of the company since we started. Everything has been reinvested back into the business,” he said.
The group is reportedly targeting annual revenues of US$100 billion, with EBITDA projected at between US$30 billion and US$35 billion across its operations. Once fully scaled, annual dividend payouts are expected to range between US$20 billion and US$25 billion.
Dangote further stated that future dividends would be calculated and paid in US dollars, although investors would have the option of receiving payments in naira, dollars, or South African rand.
The refinery IPO, first reported by Bloomberg, aims to raise as much as US$5 billion (KSh647.4 billion) through the sale of between 5 and 10 percent of Dangote Petroleum Refinery and Petrochemicals FZE. Analysts currently value the refinery at between US$40 billion and US$50 billion.
The primary listing is expected on the Nigerian Exchange Group main board between June and July 2026. The Nairobi Securities Exchange is among six African exchanges participating in the cross-border listing process, according to NSE chief executive Frank Mwiti.
However, details surrounding the Kenyan investment structure, including whether it will take the form of an NSE-listed entity, a depository receipt programme, or a special purpose vehicle, remain undisclosed.
