SABC Will Not Shut Down Long Loss-Making Subsidiary SEMC

DSX-listed Société des eaux minérales du Cameroun (Semc), subsidiary of brewer SABC, will not be shut down. This is the outcome of a shareholders’ meeting held on May 15 in Douala.

“In accordance with the provisions of Article 664 of the Uniform Act on the Law of Commercial Companies and the economic initiative grouping, the General Meeting, acting under the quorum and majority conditions required for extraordinary general meetings, decides not to pronounce the early shut down of the Company and to continue its activity.”

However, due to its situation, Semc will be required, at the latest at the end of the second financial year following that in which the losses were originally recorded, to reduce its capital by an amount equal to that of the losses which could not have been offset against the reserves if, within that period, the shareholders’ equity has not been restored to a value at least equal to half the share capital.”

At the end of the financial year that ended December 31, 2018, the company’s equity were and are still lower than half of the share capital; a consequence of the successive losses over at least the past three years.

The company ended FY2016 and FY2017 with negative results of -XAF316 million and -XAF936 million respectively. Last year, despite a slight increase in turnover (3.8% or XAF6.4 billion) Semc run a negative result of -XAF799 million.

In fact, Semc, which dominated the local mineral water market until 2015, is now facing a stiff competition, particularly with the strong return of Source du Pays, market leader since 2016, which has being off the market for a few years.

Semc’s shareholders hope to return into profitability this year with their “vital” brand whose sales have been growing steadily since its launch.

In 2018, authorized sources said, this more affordable brand gained 8.5% market shares thanks to 157.7% year-on-year increase in the sales of the 10-litre packaging.

Business in Cameroon

52 thoughts on “SABC Will Not Shut Down Long Loss-Making Subsidiary SEMC

  1. Wow, wonderful blog layout! How long have you been blogging for?

    you made blogging look easy. The overall look of your website is
    magnificent, as well as the content!

  2. For some Macy’s staff in and about New York City who
    perform at unionized retailers, shift schedules are set monts in advance.

    myblog post … site

  3. Usually I do not read article on blogs, however I wish to say that this write-up very forced me to
    take a look at and do it! Your writing style has been amazed me.

    Thank you, quite great post.

  4. What i don’t understood is in fact how you’re now not
    actually much more well-favored than you may be right now.
    You’re so intelligent. You recognize therefore considerably in terms of this topic, made me in my view believe it from
    so many numerous angles. Its like men and women don’t seem to be interested except it’s one thing
    to do with Lady gaga! Your individual stuffs great. All the time deal with it up!

  5. Let me give you a thumbs up man. Can I show my hidden information on amazing values and if you want to
    with no joke truthfully see and also share valuable info about how to find good hackers for good price yalla lready know
    follow me my fellow commenters!.

  6. Having read this I believed it was rather enlightening.
    I appreciate you finding the time and effort to put this informative
    article together. I once again find myself spending
    a significant amount of time both reading and posting comments.
    But so what, it was still worth it!

  7. Hey would you mind letting me know which web host you’re utilizing?
    I’ve loaded your blog in 3 completely different web browsers and I
    must say this blog loads a lot quicker then most. Can you suggest a good web hosting
    provider at a fair price? Cheers, I appreciate it!

  8. Every weekend i used to pay a visit this site, as i wish for enjoyment, for the reason that this
    this web site conations really fastidious funny data too.

  9. Hi there i am kavin, its my first occasion to commenting anywhere,
    when i read this paragraph i thought i could also make comment due to this good
    article.

  10. Pretty nice post. I just stumbled upon your blog and wanted to
    mention that I have truly loved surfing around your blog posts.
    After all I will be subscribing to your feed and I’m hoping you write again soon!

  11. Hey I know this is off topic but I was wondering if you knew of any widgets I could add to my
    blog that automatically tweet my newest twitter updates. I’ve been looking for a
    plug-in like this for quite some time and was hoping maybe you would have some experience with something
    like this. Please let me know if you run into anything.
    I truly enjoy reading your blog and I look forward to your new updates.

  12. I want to to thank you for this wonderful read!!
    I absolutely enjoyed every bit of it. I have you saved as a favorite to look at new stuff you post…

  13. whoah this blog is great i like studying your posts.
    Stay up the great work! You recognize, many individuals
    are searching around for this info, you can aid them greatly.

  14. Hey just wanted to give you a quick heads
    up. The text in your post seem to be running off the screen in Safari.

    I’m not sure if this is a format issue or something to do with browser compatibility but I figured I’d
    post to let you know. The style and design look great though!
    Hope you get the problem solved soon. Many thanks

  15. This design is steller! You definitely know how to keep a reader entertained.
    Between your wit and your videos, I was almost moved to start
    my own blog (well, almost…HaHa!) Great job. I really loved what you
    had to say, and more than that, how you presented it.
    Too cool!

Leave a Reply

Your email address will not be published. Required fields are marked *