SEC Warns Nigerians Against Fake Dangote Refinery IPO Promotions on Social Media
SEC issued a warning on Tuesday that no application for an IPO or public offer of shares by Dangote Petroleum Refinery has been submitted or approved, despite advertisements, flyers, digital banners and electronic messages promoting such an offer on social media and investment platforms. The commission expressed concern over the involvement of some registered capital market operators in soliciting advance subscriptions for this purported securities offering.
The warning follows premature marketing activities that could mislead investors, distort market expectations, create information asymmetry, and undermine Nigeria's capital market integrity. SEC stated that marketing unapproved offers, distributing unapproved prospectuses, and inviting pre-funding or guaranteed share allocations amounts to market manipulation violating the Investments and Securities Act 2025.
SEC directed registered capital market operators to immediately stop publishing or distributing promotional materials, remove all unauthorized content from websites and social media within 24 hours, and cease accepting deposits, commitments or expressions of interest. Operators who collected funds must reverse transactions and refund monies within 24 hours. The public should rely only on official SEC communications, ignore high-pressure tactics, and verify registration status through SEC's official channels before investing.