NNPC Ltd nears Initial Public Offer, seeks investment partners

The Nigerian National Petroleum Company Ltd (NNPC) has announced it is in the final stages of preparing for an Initial Public Offering (IPO), as mandated by the Petroleum Industry Act (PIA) of 2021. Chief Finance and Investor Relations Officer Olugbenga Oluwaniyi stated that the company is currently assessing potential partners in an initiative called the 'IPO Beauty Parade,' intended to identify support in areas such as investor relations and investment banking. This development comes after NNPC's significant profitability, reporting a profit after tax of N3.3 trillion for the 2023 financial period, showcasing a strong turnaround since its previous losses. Despite being required to list within six months of the PIA enactment, the IPO has faced delays, but recent statements indicate that the wait may soon be over. NNPC aims to engage with the best offers for project partnerships in preparation for the public offering. The IPO is expected to enhance NNPC's access to capital markets as it moves towards a fully commercial operation.