Camalco (Cameroon): Acquires 42.8% Douala Timber Terminal Stake

• Camalco, a Canyon Resources subsidiary, acquired a 42.8% stake in Douala Port Timber Terminal (TBPD) in Cameroon.
• The acquisition involved a CFA347.447 million investment by Camalco, structured as a capital increase that diluted existing shareholders to 57.2%.
• TBPD's capital increased from CFA464 million to CFA811.447 million through the issuance of 347,447 new shares exclusively to Camalco.
• This strategic Minim-Martap bauxite logistics investment aims to support the transport network for the bauxite project, connecting northern Cameroon to the coast.
• Camalco now holds stakes in both TBPD and Camrail, key components of the planned bauxite transport chain.

For legal professionals advising on M&A, project finance, or infrastructure development in Cameroon, this equity acquisition and capital increase serve as a notable precedent.

Camalco, a subsidiary of Canyon Resources, has secured a significant 42.8% ownership stake in the Douala Port Timber Terminal (TBPD). This move represents a key investment in Cameroon's logistics infrastructure, specifically aimed at bolstering the transport chain for the Minim-Martap bauxite project. The acquisition by Camalco Cameroon positions the company as a major player in the critical network designed to move bauxite from northern Cameroon to coastal export facilities.

The transaction involved a substantial financial injection, with Camalco investing CFA347.447 million into TBPD. This capital infusion was structured as a capital increase, where Camalco received newly issued shares directly from the company. Notably, this was not an acquisition of existing shares from previous owners, but rather a direct investment into TBPD's growth and operational capacity.

As a direct consequence of this capital increase, the combined ownership stake of TBPD’s existing shareholders was diluted, decreasing from 100% to 57.2%. This strategic investment means Camalco now holds interests in both TBPD and Camrail, two pivotal entities within the planned logistics framework for the Minim-Martap bauxite operation, underscoring a consolidated approach to the project's transport needs.

The financial mechanism underpinning Camalco's acquisition of a 42.8% stake in TBPD was a capital increase specifically reserved for the Canyon Resources subsidiary. This direct investment of CFA347.447 million led to the issuance of 347,447 new shares, which were exclusively allocated to Camalco. This method of share issuance directly augmented TBPD's capital base rather than simply transferring ownership of existing equity.

Following this significant capital injection, the total capital of Douala Port Timber Terminal experienced a substantial increase. TBPD's capital expanded from its previous level of CFA464 million to a new total of CFA811.447 million. This financial restructuring reflects a clear commitment to enhancing the terminal's capabilities and its role within the broader Cameroonian logistics landscape.

Details of this transaction were made public through a legal notice stemming from an extraordinary general meeting held on March 31, 2026. This formal disclosure confirms the specifics of the capital increase and the subsequent dilution of existing shareholder interests, providing transparency regarding the ownership changes at TBPD.

This strategic Camalco TBPD acquisition in Cameroon carries significant implications for the nation's burgeoning mining sector, particularly for large-scale projects like Minim-Martap bauxite. By securing a substantial stake in the Douala Port Timber Terminal, Camalco is directly investing in the crucial infrastructure required to facilitate the efficient export of mineral resources. This move highlights a growing trend of mining companies integrating vertically into logistics to de-risk and optimize their supply chains.

The investment in TBPD, alongside Camalco's existing stake in Camrail, underscores a comprehensive approach to developing an integrated transport corridor from the interior of Cameroon to its coast. This consolidation of interests in key logistics assets is vital for the viability of the Minim-Martap bauxite project, ensuring a streamlined and controlled pathway for the raw material. Such infrastructure investments are critical for unlocking the full potential of Cameroon's natural resources.

For legal professionals advising on M&A, project finance, or infrastructure development in Cameroon, this equity acquisition and capital increase serve as a notable precedent. It reflects a strategic consolidation in the logistics sector supporting major mining projects, potentially influencing future deal structures and regulatory considerations for similar investments. The move by Canyon Resources, through its subsidiary Camalco, signals a long-term commitment to the region's resource development and its associated logistical backbone.

Lawyers advising on M&A, project finance, or infrastructure development in Cameroon should note this significant equity acquisition and capital increase, as it reflects strategic consolidation in the logistics sector supporting major mining projects like Minim-Martap bauxite, potentially impacting future deal structures and regulatory considerations for similar investments.

Source: Original reporting via Business in Cameroon