Aliko Dangote Acquires 25 Percent Stake in Kenya Pipeline Company

Aliko Dangote, founder and CEO of Dangote Industries Limited, acquired a 25 percent stake in the Kenya Pipeline Company (KPC) for approximately $327 million. Disclosing the deal during an event in London, Dangote confirmed the purchase of about 4.5 billion shares in the company, which manages a 1,342-kilometer network transporting petroleum products from the port of Mombasa to inland markets and neighboring East African nations.

This investment aligns with a broader regional expansion strategy. On September 30, Dangote began construction on a $16 billion to $17 billion refinery project in the Lamu archipelago, with an expected completion date around 2030. The Government of Kenya plans to take an equity stake in the Lamu refinery through the National Infrastructure Fund.

Furthering his financial integration into the region, Dangote Petroleum Refinery & Petrochemicals FZE is seeking East African investors for a $1.6 billion IPO, allocating nearly 20 percent of the offering to regional participants.