• Burkina Faso to nationalize Sofitex, buying remaining private shares
• Company valued at 338 billion CFA francs amid high debt
• Move aims to boost cotton sector after declining production

Burkina Faso has decided to buy out remaining private shareholders in Société burkinabè des fibres textiles (Sofitex), the country’s dominant cotton company. The move, approved by the Council of Ministers on April 16, 2026, will make the state the sole shareholder, in the public interest.

A 2025 valuation cited by the Council of Ministers puts Sofitex’s value at 338.14 billion CFA francs (about $607 million). The private stake is valued at just over 75 billion CFA francs for 976,400 shares, or 76,840 CFA francs per share. The study also points to high debt levels the company has struggled to manage, a factor behind the decision to fully nationalize.

The takeover is intended to support the development of the cotton sector and comes with the adoption of new bylaws to improve Sofitex’s operations and governance. Authorities say they aim to improve the company’s efficiency. Sofitex accounts for about 80% of Burkina Faso’s cotton production.

The decision comes as national output continues to fall. Production for the 2024/2025 season stood at 292,660 metric tons, down 24%. This is the third consecutive decline since the 2021/2022 season. Authorities have set a target of 550,000 metric tons for the current season.

The strategy is based on internal reorganization, tighter financial discipline and a revised regulatory framework.

Sandrine Gaingne