Do not buy the Dangote refinery IPO

Do not buy the Dangote refinery IPO no matter what until you do what I'm about to tell you. First of all, I need you to understand something. Why do companies go public in the first place? Why do they go public? Why do they issue an IPO? It is one of three reasons. Number one is to raise capital for expansion, for more growth. Number two is to pay off debt. Number three is so early investors can cash out. Now, the best one is if the company is raising capital for more growth. Now, I'm sure all of us have heard Dangote say that in the next 30, their 30 months, Dangote refinery could be the biggest and best refinery in the entire world. And honestly, as a long-term investor, that sounds very promising. But here's the reason why I said you should not buy it. Because right now, everybody's excited. People can easily give into FOMO. And I'm sure if you go online, you see so many viral flyers and ads promising you guaranteed shares allocation or sometimes telling you why you should buy it immediately without without nuance or in-depth explanation. But here's the thing, the SEC has issued a warning. This, what they're doing is highly illegal because without that prospectus, nobody can tell you with confidence what's happening with that company. Is the company in debt? What are the risks involved? Reading the financial statement and everything. Nobody knows that without that prospectus. And for Dangote refinery, the prospectus is expected to be released in September. This is just the second of the month. So, what is a prospectus? A prospectus is just a document that discloses everything about a company before going public. And let me burst your bubble. For those of you that believe everything you see online, did anybody tell you that the company carries the debt burden of $3.65 billion? So, what if they're using the IPO to pay off debt? Do you see something? But not to discourage you, because we have seen a lot of QIBs and HNIs invest heavily in the refinery, in the Dangote refinery. QIBs are just qualified institutional buyers. These are institutions with liquidity like the pension funds, mutual funds, do you get me? And also high net worth individuals like Otedola, people with with investable assets, people with at least 100 million to 500 million Naira thereabouts, people with money. Now, when these institutions and people buy, it's actually a tell-tale sign for retail investors to invest in. It's like we wait for them to test the waters. If they don't drown, then we can safely jump in. So, if there's anything I want you to take away from this video, is to do your due diligence before you invest in any stock. Don't go and carry your hard-earned money and put it into a stock just because somebody online said you should not miss out on the Dangote refinery IPO. There is so much more than meets