Dangote refinery IPO rush overwhelms Bamboo, Cowrywise sites

The launch of the Dangote Petroleum Refinery and Petrochemicals Initial Public Offering on Monday triggered a surge in investor traffic that overwhelmed two popular Nigerian investment platforms, Bamboo and Cowrywise.

Both platforms reported unusually high traffic as retail investors rushed to subscribe to the offer, with some users unable to access their accounts.

Bamboo announced the access difficulties in a post on X, attributing the disruption to the unexpected volume of traffic generated by investors seeking to participate in the Dangote Refinery IPO.

“Hey everyone, we’re getting a much higher than expected traffic trying to get into the Dangote IPO and it’s making it difficult for some users to log into the Bamboo app. We’re working on a fix and it will be up and running shortly,” the platform said.

Cowrywise also acknowledged increased traffic on its platform.

“We’re currently seeing more traffic than usual on the Cowrywise app. Our team is already on it and working to get things back to normal. Thanks for your patience, everyone,” it said in a post on X.

The two platforms are among the approved fintech channels through which investors can subscribe to the Dangote Refinery public offer.

The rush came as the offer opened to investors on Monday, with the public offer seeking to raise about N2.15 trillion through the sale of 4.1 billion ordinary shares at N525 each.

Investors can subscribe for a minimum of 10 shares valued at N5,250, a structure designed to encourage broad participation by retail investors.

The Dangote Refinery IPO is one of the largest public share offerings in Africa. The refinery, owned by the Dangote Group, plans to use the proceeds to support expansion and increase its refining capacity.

The offer has generated significant interest among retail investors following efforts to promote the opportunity as a means of allowing Nigerians and other African investors to acquire stakes in one of the continent’s biggest industrial projects.

The surge in demand highlights the scale of investor interest in the offer while also exposing the pressure that high-demand investment events can place on digital platforms.

The Securities and Exchange Commission had earlier warned investors against unauthorised promotions relating to a purported Dangote Refinery IPO before the formal offer received regulatory approval.

In June, the commission said no application for the IPO had been filed or approved at the time and directed capital market operators to stop accepting deposits or expressions of interest.

Following regulatory approval, the Dangote Refinery public offer was cleared to proceed, with the company publishing a list of approved banks, fintechs, mobile operators and NGX Invest through which investors can subscribe.