SEC Warns Investors Over Fake Dangote Refinery IPO Platforms

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The Securities and Exchange Commission (SEC) has raised the alarm over fraudulent schemes targeting subscribers to the N2.15 trillion Dangote Petroleum Refinery and Petrochemicals Initial Public Offering (IPO), which opened on Monday, September 14, 2026.

In a notice signed by its management, the Commission confirmed it approved the public offer but said it was concerned about bad actors looking to exploit heavy public interest in the share sale.

Payments Only Through Approved Channels

The SEC directed investors to channel all applications and payments exclusively through authorised receiving agents, designated subscription platforms and other officially approved routes.

It said only entities it has specifically authorised may receive applications or funds from the public. Investors were urged to confirm the registration status of any stockbroker, bank, fintech platform or capital market operator before proceeding.

Prospective subscribers were also told to verify the authenticity of any website or digital platform before supplying personal or financial details, and to avoid transferring money to individuals or groups claiming to offer subscription services outside approved channels.

The commission said: "Investors are advised to carefully review the approved prospectus and understand the risks, terms and conditions attached to the investment before making any commitment."

Fake Websites, WhatsApp Messages, Social Media Ads

The SEC singled out unsolicited phone calls, WhatsApp messages, emails and social media advertisements as key tools being used to lure investors with promises of guaranteed share allotments or preferential access to the offer.

It told members of the public not to act on such communications. The regulator stressed that the existence of a company, an individual or a social media account does not automatically mean it holds regulatory approval to participate in the offer.

Investors were advised to seek guidance from registered stockbrokers, banks and investment advisers, and to use the Commission's official verification portals to check the credentials of any platform or person offering investment services before committing funds.

Strong Interest in the Offer

The Dangote Refinery IPO has drawn broad interest from retail and institutional investors, reflecting expectations of strong participation in one of Nigeria's largest capital market transactions to date.

Investors seeking to participate can buy shares through a wide range of approved financial intermediaries, including banks, stockbrokers, fintech platforms and investment applications. The options include the Nigerian Exchange Limited (NGX) Invest Portal.

Earlier reports noted that the offer raised N1.5 trillion within six hours of opening, with platforms such as Bamboo and Cowrywise crashing under subscription traffic.

For Nigerian investors, the SEC warning is a reminder that the rush into a landmark offer also creates room for fraud. Any payment made outside approved channels leaves the subscriber with no regulatory cover and little chance of recovery.

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