LONDON, United Kingdom — Aliko Dangote has acquired a 25% stake in Kenya Pipeline Company (KPC) in a deal valued at about $327 million, extending his investments in East Africa’s petroleum distribution infrastructure.
Dangote, founder and chief executive of Dangote Industries Limited, disclosed the acquisition at an event in London on Wednesday, October 21, 2026. He did not say which of his companies bought the stake.
Dangote Kenya Pipeline deal valued at $327 million
The Nairobi Securities Exchange reported a block transaction on Monday involving about 4.5 billion shares, valued at 42.5 billion Kenyan shillings (about $327.4 million). The company’s market value is about 163.9 billion shillings.
Dangote confirmed the purchase, saying: “We bought 25% of their pipeline network for the distribution of petroleum products.”
Kenya Pipeline Company’s public listing
Kenya Pipeline was wholly owned by the Kenyan government until it sold 65% of its shares in an initial public offering (IPO) earlier in 2026, opening the business to private investors. It now trades on the Nairobi Securities Exchange.
The company, established in 1973 and operating commercially since February 1978, runs a pipeline network of about 1,342 kilometres. The network connects the coastal port of Mombasa with inland fuel markets and supports supplies to other East African countries.
Its infrastructure includes petroleum storage depots, pumping stations and loading facilities, with an estimated annual handling capacity of 14 billion litres of petroleum products.
Dangote’s East African refinery plans
The stake comes as Kenya’s government plans to take an equity interest in Dangote’s proposed refinery in Lamu. President William Ruto announced the plan at the refinery’s groundbreaking on September 30, 2026, saying it would be funded through the National Infrastructure Fund.
The Lamu project is valued at KSh2.2 trillion (about $16 billion). It is expected to cost between $16 billion and $17 billion, with completion targeted for around 2030.
Dangote’s group is also seeking East African investors for its Lagos refinery. The regional offer covers nearly 20% of a $1.6 billion initial public offering, with about 729 million global depositary receipts priced at 53.50 Kenyan shillings each. The regional allocation could raise up to $300.4 million.
