Cameroon Stock Market Faces Buyer Apathy Despite Company Performance

On March 12, 2025, no trades occurred on the Central African Stock Exchange despite 3,000 shares available, including a significant number from local enterprises. Demand was weak, with only 132 shares requested, and market analysts speculate that large volumes being offered at once may trigger investor caution. The overall lack of transactions indicates struggles in attracting buyers despite robust financial performances from listed companies.

On March 12, 2025, the Central African Stock Exchange (BVMAC) in Douala, Cameroon, saw no trades executed, despite over 3,000 shares being available for sale, inclusive of more than 1,000 shares from various local companies. The dominant unsold shares came from Socapalm, a leading palm oil producer and subsidiary of the Luxembourg-based Socfin Group, which had 544 shares listed but unsold. Other unsold shares included 282 from SEMC, 80 from Safacam, and 212 from La Régionale Bank.

The official trading bulletin indicated that, despite existing buy and sell offers for shares of Safacam, Socapalm, and SEMC, no transactions were finalized due to buyers’ offers being lower than sellers’ prices. Additionally, demand appeared weak with only 132 shares requested against a whopping 1,118 available for sale, signaling diminished investor enthusiasm despite these companies displaying commendable financial performance in their recent reports.

The lack of trading activity remains unexplained in the official report, yet market analysts suggest that the simultaneous offering of substantial shares from profitable organizations can trigger investor apprehension. This sudden influx might be perceived as a potential concern, leading cautious investors to refrain from making purchases.

The trading session on March 12, 2025, reflects a concerning trend in Cameroon’s stock market, where a lack of buyer engagement persisted despite the availability of shares from profitable companies. Analysts suggest that the simultaneous listing of large share volumes could deter investors by signaling potential red flags. As such, the market continues to grapple with challenges in attracting buyers, even amidst solid financial performances recorded by local firms.

Original Source: www.businessincameroon.com