The Securities and Exchange Commission (SEC) has instructed capital market operators to immediately suspend all promotional and marketing activities linked to a purported initial public offering (IPO) of Dangote Petroleum Refinery and Petrochemicals FZE, stating that no such application has been submitted to or approved by the regulator.
The directive was issued in a public notice on Tuesday following the circulation of advertisements, flyers, digital banners, and targeted emails advertising a supposed share offering by the refinery.
According to the commission, it became aware of widespread promotional materials circulating on social media and investment platforms, expressing concern that some registered capital market operators were involved in the campaign.
The SEC stated: “The Securities and Exchange Commission has banned the marketing and promotion of a purported initial public offering by Dangote Petroleum Refinery & Petrochemicals FZE, warning that no application for such an offer has been filed with or approved by the regulator.”
It described the activities as an “unwholesome and manipulative exercise,” adding that some operators were already soliciting advance subscriptions for an IPO that had not been formally submitted for regulatory review.
The commission warned that such conduct could mislead investors and undermine confidence in the capital market.
It further stated that the promotions were “capable of misleading investors, distorting market expectations, creating information asymmetry, and generally undermining the integrity of the capital market.”
The SEC also noted that inviting investors to open accounts, pre-fund investments, or secure guaranteed share allocations amounted to market manipulation and constituted a serious breach of the Investments and Securities Act.
As a result, the regulator ordered all capital market operators—particularly stockbrokers and digital investment platforms—to immediately cease all promotional activity relating to the alleged offer.
Operators were directed to “cease with immediate effect from publishing, reposting, or distributing any promotional material, flyer, or commentary relating to the acquisition or allocation of shares in the refinery.”
They were further instructed to remove all unauthorized promotional content from websites, social media pages, and messaging platforms within 24 hours.
The commission also directed that all operators must stop receiving deposits, investment commitments, account openings, or expressions of interest tied to the purported IPO.
In addition, the SEC ordered operators to “reverse and refund all funds already collected in connection with this purported offering to clients within 24 hours of this notice.”
It warned that any operator who fails to comply would face sanctions under the Investments and Securities Act 2025 and relevant SEC rules and regulations.
The commission urged investors to be vigilant and rely strictly on official announcements issued through its verified channels.
It added: “All such high-pressure marketing tactics, or transfer of funds to any operator for ‘pre-IPO’ placement, should be ignored as they did not receive the commission’s approval.”
The SEC reassured the investing public that if and when it receives and approves any application for a public offer by Dangote Petroleum Refinery & Petrochemicals FZE, a formal prospectus would be released in accordance with the Investments and Securities Act 2025.
Earlier, The reported that the Dangote Group plans to float a 10 per cent stake in its $20 billion refinery, which has a capacity of 650,000 barrels per day, through a Pan-African IPO expected in 2026.
ADEOLA KUNLE
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