Nigerian billionaire Aliko Dangote./SCREENGRAB
Kenyan investors have been warned to keep off individuals and online platforms seeking to cash in on the highly publicised initial public offering (IPO) of Nigeria’s Dangote Petroleum Refinery.
In a media statement on Monday, the Capital Markets Authority (CMA) says the offer has not received regulatory approval for solicitation in Kenya.
The regulator has cautioned the public against fraudulent schemes purporting to offer Kenyans an opportunity to buy shares in the Nigerian oil refinery.
The warning comes as the Dangote Refinery IPO generates strong retail investor interest across Nigeria, where the offer opened on September 14 and is scheduled to close on October 13, 2026.
The Nigerian Securities and Exchange Commission (SEC) has approved the offer of 4.1 billion ordinary shares at 525 Nigerian naira each, translating to a potential 2.15 trillion naira ($1.6 billion) if fully subscribed.
The offer values the refinery at roughly $47 billion (Sh6.1 trillion) and is aimed at raising capital to support expansion of its refining capacity.
The facility, which began operations in 2024, is currently capable of processing about 650,000 barrels of crude a day, with plans to increase capacity to about 1.4 million barrels a day.
The attraction for retail investors is the relatively low entry point.
The minimum subscription is 10 shares, costing 5,250 naira, or roughly $4 (Sh518).
Investors are required to apply and pay through officially designated Nigerian receiving agents, licensed stockbrokers and approved investment platforms.
Jackson Mwangi, a capital markets enthusiast warns that Nigerian approval does not automatically make the offer valid for solicitation in Kenya.
According to him, Kenya's Capital Markets Act requires an issuer or offeror seeking to make a public offer of securities in Kenya to submit a prospectus to the CMA for approval.
The Capital Markets (Public Offers, Listings and Disclosures) Regulations, 2023 also provide the framework governing public offers in Kenya, including disclosure, prospectus and approval requirements.
"This means that any legitimate attempt to market the Dangote shares directly to Kenyan members of the public would have to comply with Kenya's regulatory framework, including obtaining the necessary CMA approval."
"While the Dangote IPO is a legitimate Nigerian securities offering, it does not mean every Kenyan advert, WhatsApp message, website or investment platform claiming to sell the shares is legitimate," he said.
He has asked Kenyan investors seeking exposure to the offer to verify that any intermediary is properly authorised to provide the relevant cross-border investment service and that the specific offer has the necessary Kenyan regulatory clearance before committing funds.
Nigeria's SEC has issued a similar warning after detecting fraudulent pre-IPO promotions, stressing that investors should use only officially approved subscription channels and avoid unsolicited messages.
