On March 12, 2025, Cameroon’s Central African Stock Exchange (BVMAC) saw no trades despite 3,000 shares available for sale, particularly highlighting unsold shares from leading companies like Socapalm and SEMC. Weak demand and price discrepancies hampered buyer interest, leading to concerns about investor confidence in the market.
During a recent trading session on March 12, 2025, the Central African Stock Exchange (BVMAC) recorded no trades, indicating a significant struggle in attracting buyers despite strong overall company performances. Over 3,000 shares were offered for sale, including more than 1,000 shares from Cameroonian firms. However, the session saw no transactions executed, underscoring a concerning trend within the market.
The largest quantity of unsold shares originated from Socapalm, Cameroon’s leading palm oil producer, which is part of the Luxembourg-based Socfin Group. Specifically, 544 shares of Socapalm were available, yet none were sold. Other unsold shares included 282 belonging to SEMC, a mineral water company, 80 from Safacam, another Socfin subsidiary, and 212 shares of La Régionale Bank, a local financial institution.
According to the official trading bulletin (BOC), factors inhibiting transactions included discrepancies between buying and selling prices, which hindered offers for Socapalm, Safacam, and SEMC shares. Notably, there was weak demand with only 132 shares requested against 1,118 that were available, indicating a lack of investor interest even amid positive financial results from these companies.
Financial analysts have suggested that the large volumes of shares from profitable firms offered for sale simultaneously may induce caution among investors. A significant rush to sell can signal underlying issues, potentially deterring prospective buyers from participating in the market. This reflects a broader concern about confidence in trading in the region.
The recent trading session at the Central African Stock Exchange revealed a stark scenario where not a single transaction occurred despite the availability of thousands of shares from well-performing companies. Caution among investors, spurred by large volumes of unsold shares, along with disparities in buying and selling prices, have collectively inhibited market activity, raising concerns about investor sentiment in the region.
Original Source: www.businessincameroon.com
