The demutualisation of the Nairobi Securities Exchange has gained momentum with the appointment of the Central Depository and Settlement Corporation (CDSC) as its share registrar and depository.
Effectively, the move ushers in a safe and convenient way of holding securities. “This provide the best registry and depository services due to CDSC’s vast experience in these two areas,” said Mr Eddy Njoroge, the NSE Chairman. Meanwhile, the NSE has taken up a step further in dematerilisation of all its shares. This means all physical share certificates will have to be converted into an electronic form, a move that will eliminate the certificates as a record of security ownership.
“To set the pace, all the shares allotted will be held in the depository in dematerialised form,” said the bourse’s CEO, Peter Mwangi.
