Dangote Petroleum Refinery and Petrochemicals FZE swung to a profit after Africa’s biggest oil-processing facility reached full capacity and as it undertakes the continent’s largest initial public offering to date.
Net income in the nine months through Sept. 30 surged to $4.725 billion from a loss a year earlier, the Lagos-based company said in a statement Tuesday.
The refinery located in Nigeria’s commercial hub processed as much as 700,000 barrels a day during the period, helping revenue more than double to $22.5 billion.
The company ended the period with cash balances of $6.6945 billion and a net cash position of $650.8 million, compared with $1.7 billion of debt a year earlier.
The refinery owned by Africa’s richest man, Aliko Dangote, seeks to raise $1.6 billion from investors in its IPO through the sale of 4.1 billion shares.
Demand has exceeded that amount by three to four times, the billionaire said Monday during a tour of his refinery. The company has extended the IPO by two weeks after it received “very strong interest” from investors across the continent, Chief Executive Officer David Bird said.
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