Seplat Worker
Seplat Petroleum Development Company PLC was valued at $1.91 billion when it priced its initial public offering on Wednesday. Seplat

Seplat Petroleum Development Company PLC on Wednesday raised 300.9 million pounds ($500 million) in an initial public offering (IPO) that priced the shares at 201 pence ($3.52), valuing the Nigerian oil and gas company at $1.91 billion.

The IPO, which was dually listed on London and Lagos exchanges, raised 300.9 million pounds, or roughly $500 million, to become the largest European IPO of a petroleum exploration and production business since the financial crisis, and emphasizes the importance of London as a center for emerging markets and Nigeria as a burgeoning area for investment.

"We are already a leading indigenous independent in our home market but the opportunities opening up in Nigeria for companies like ours are significant. The proceeds from the global offer place us in a strong position to make further acquisitions as the IOCs [international oil companies] divest their onshore assets in the Niger Delta," said Austin Avuru, Seplat's CEO, in a public statement.

On Monday unconditional share trading will start in London and in Nigeria.

Seplat was formed in 2009 by the merger of two smaller Nigerian companies, Platform Petroleum and Shebah Exploration and Production. Soon after, they acquired three oil blocks in the Niger Delta from Royal Dutch Shell PLC (LON:RDSA). Today, they produce about 60,000 barrels of oil daily.

“It will be the first major IPO in the market since the 2008 burst,” Oscar Onyema, the CEO of the Nigerian Stock Exchange, said to Reuters. “It could signal the opening of a window for other IPOs to come through."