(Business in Cameroon) – Cameroon’s Presidency has stepped in to halt the planned withdrawal of businessman Baba Ahmadou Danpullo from the capital of the Société de Développement du Coton (Sodecoton).
According to information obtained by Business in Cameroon, the Presidency recently instructed the Ministry of Finance to engage the investor in talks to persuade him to retain his shares. Sources familiar with the discussions said a deal was eventually reached. “There is an understanding with the State for him to stay, so he won’t be leaving,” one source confirmed.
Maintaining the Capital Balance
Through the Société Mobilière d’Investissement du Cameroun (Smic), Baba Danpullo holds about 11% of Sodecoton’s capital. For several months, he had been seeking to divest, reportedly approaching Asian investors through local intermediaries. His stake is valued at between 15 and 17 billion XAF.
For the State, the priority is to preserve the balance between public and private ownership in the strategic cotton company. “It was important to keep an external shareholder to maintain perspective in governance,” said a source close to the Finance Ministry.
These negotiations come after the State’s 46 billion XAF acquisition of the 30% stake previously held by Advens-Geocoton, which increased public ownership to 89%. Following that transaction, several national entities expressed interest in buying shares: the National Confederation of Cotton Producers of Cameroon (CNPC-C), representing more than 200,000 farmers, signaled its willingness to purchase 12% of the capital (worth roughly 18 billion XAF). The staff mutual Ficocam targeted 1.5%, while Sodecoton itself planned to raise its stake by 4.5%.
Ahead of a Stock Market Listing
This reshuffling of ownership precedes a key step: Sodecoton’s planned listing on the Central African Securities Exchange (BVMAC). The company has started selecting an intermediary to manage the process, which aims to improve transparency, strengthen governance, and attract new investors to one of Northern Cameroon’s leading rural enterprises.
By keeping Baba Danpullo among its shareholders, the government ensures a strong private-sector presence as its own stake becomes dominant. The move is seen as a signal of stability and confidence ahead of the market debut, reassuring both investors and cotton producers about Sodecoton’s ability to balance public control with market discipline.
Amina Malloum
