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Cameroon’s president, Paul Biya, has intervened to stop the country’s richest man, Baba Ahmadou Danpullo, from selling his stake in Société de Développement du Coton (Sodecoton), one of the country’s most strategic agribusiness companies. The billionaire businessman had been preparing to divest his 11 percent stake, valued at about XAF17 billion ($30 million).
Cameroon blocks Danpullo’s Sodecoton stake sale
According to people familiar with the matter, the presidency directed the Ministry of Finance to open talks with Danpullo in an effort to dissuade him from selling.
After weeks of back-and-forth, a compromise was reportedly reached that will see him retain his position as a key private shareholder. The government, sources said, viewed his continued presence as important for keeping an external perspective in the company’s governance.
The move follows the government’s XAF46 billion ($81 million) purchase of a 30 percent stake previously owned by Advens-Geocoton. That deal lifted state ownership in Sodecoton to 89 percent. Local groups, including the National Confederation of Cotton Producers of Cameroon, which represents over 200,000 farmers, had expressed interest in acquiring shares.
The National Confederation of Cotton Producers of Cameroon had offered to buy 12 percent of the capital for about XAF18 billion ($31.8 million), while the staff mutual Ficocam proposed to take 1.5 percent. Sodecoton itself also planned to increase its holdings by 4.5 percent.
At 74, Danpullo balances power and legacy
Baba Ahmadou Danpullo’s interest in Sodecoton is held through his investment firm, Société Mobilière d’Investissement du Cameroun (Smic). Over recent months, he had quietly explored potential buyers, including Asian investors, through local intermediaries. Despite his plans to sell, he remains eligible for part of Sodecoton’s 500 million CFA francs ($810,000) dividend for 2024, recently approved by shareholders.
At 74, Baba Ahmadou Danpullo is one of Africa’s most influential businessmen, with interests in real estate, agribusiness, telecommunications and finance. His $1 billion fortune stems from decades of investments. A legal dispute with South Africa’s FirstRand Bank over seized assets underscored both his prominence in Cameroon and the risks of cross-border business.
