The Nigerian Central Securities Depository (CSCS) has started to distribute bonus shares electronically for the first time. The bonus issued by Intercontinental Bank was the first to be loaded successfully and distributed electronically via the CSCS system.
“E-bonus is expected to put an end to delays in the issuance of bonus certificates, thereby facilitating the immediate trading of the shares,” says a spokesman for Standard Bank of South Africa in Nigeria.
E-Bonus is a paperless system in which bonuses are captured electronically, posted to shareholder accounts and made available for trading immediately.
Standard Bank says this should also improve liquidity and transaction volumes in the market generally.