Nigeria’s stock market came under renewed selling pressure on Wednesday as investors continued to offload shares, with growing appetite for cash ahead of the highly anticipated Dangote Petroleum Refinery initial public offering (IPO).
The sell-off followed a bruising session on Tuesday, when the Nigerian Exchange (NGX) All-Share Index fell 1.17%, shedding 2,897.67 points to close at 244,802.11.
Market capitalisation also dropped by about ₦1.88 trillion, falling from ₦160.60 trillion to ₦158.72 trillion. The session ended with 63 decliners against just four gainers, highlighting the breadth of the sell-off. (TheStar)
Market analysts have linked the renewed pressure to portfolio repositioning as investors seek to free up funds for the Dangote Refinery share offer.
The IPO, which has been approved by Nigeria’s Securities and Exchange Commission, will offer 4.1 billion ordinary shares at ₦525 each, potentially raising about ₦2.15 trillion ($1.6bn). The offer is scheduled to open on 14 September and close on 13 October 2026. (Reuters)
Heavy losses continue
By the close of trading on Wednesday, selling pressure remained visible across several counters.
BUACEMENT and STANBICETF30 each fell 10.00%, while VSPBONDETF declined 9.97%. CADBURY dropped 9.94%, INTENEGINS lost 9.88%, while TRIPPLEG fell 9.79%.
Nigerian Breweries declined 9.76%, UPDCREIT shed 9.75%, NEIMETH fell 9.66%, ABBEYBANK dropped 9.35%, FTGINSURE declined 9.15%, and VETINDETF lost 8.47%.
Other major stocks, including ACCESSCORP, FCMB, OANDO, WEMABANK, GTCO and FIDELITYBK, also came under selling pressure during the session.
The scale of the declines has fuelled concerns that investors are liquidating existing positions to participate in what is expected to be one of Africa’s biggest-ever public share offerings.
The Dangote Refinery IPO has attracted significant attention from retail and institutional investors, with the company targeting broad participation in the offer. The refinery, which began operations in 2024, is also planning a major expansion that would increase its processing capacity to 1.4 million barrels per day. (Reuters)
Some stocks buck the trend
Despite the widespread losses, a number of equities managed to close higher.
Champion Breweries was among the strongest performers, rising 9.90% to ₦11.10. Greenwetf gained 8.28% to ₦757.85, while UPDC advanced 5.88% to ₦3.60.
Ikeja Hotel, Cutix, VFD Group, Sterling Bank, Zenith Bank, TIP, NGX Group, UBA and UCAP also recorded gains.
The contrasting performances underline the sharp rotation taking place within the market as investors reassess their portfolios ahead of the Dangote offer.
With the IPO now only days away, attention is likely to remain focused on whether the selling pressure on the NGX will persist or ease once investors have secured funds for the offer.
The Dangote Petroleum Refinery has priced its shares at ₦525, with a minimum subscription of 10 shares. The official IPO website says eligible investors should use only approved subscription channels and warns investors to review the prospectus before investing.
