NSE Revolutionises Public Offerings Subscription with Electronic Platform

Tuesday, December 22, 2020 / 02:54 PM / By NSE / Header ImageCredit: Getty Images

TheNigerian Stock Exchange (NSE or The Exchange) is pleased to announce the launchof X-PO, an online platform for the subscription of public offerings (POs) onFriday, December 18, 2020, following the "No Objection" letter received fromthe Securities and Exchange Commission (SEC).

TheX-PO, the first end-to-end online public offerings platform in Africa, isdesigned to enhance the experiences of stakeholders in the public offeringsvalue chain, by providing a smarter and efficient way to manage public offersin the Nigerian capital market.

Asa self-service portal, X-PO allows investors to conveniently subscribe and makepayments for public offers through the web and mobile (USSD), avoiding thehassle of physical completion and submission of public offering applicationsforms and visiting the bank for payment.

Speaking on the development, the Chief Executive Officer, NSE, Mr. OscarN. Onyema, OON, noted that, "The launch of the X-PO platform reinforces TheExchange's commitment to revolutionise stakeholders' experience in the Nigeriancapital market leveraging technology. The X-PO has been designed to enhance theefficiency of PO subscription process and operational workflow to supportIssuers in raising capital and enhance the reach of POs while promotingfinancial inclusion and retail investors' participation in the market.Furthermore, X-PO will accelerate the reconciliation and allotment process forPOs, as well as reduce the incidence of unclaimed dividends, thereby boostinginvestor confidence in the capital market".

The Exchange will continue to innovate and adapt to new technologiesthat will not only help companies improve operational efficiency, but alsoenhance corporate governance which is paramount for sustainable businessoperations. "The launch of the X-PO is particularly timely given the new normaloccasioned by the COVID-19 pandemic. The platform's sustainable approachaffirms NSE's commitment to deploying environmentally friendly businesspractices and promoting paperless public offer subscriptions. We have alsotaken into consideration the vital need for privacy and data protection,deploying the highest levels of security to ensure that stakeholders can enjoya safe and secure digital public offering experience," Mr Onyema furtherstated.

Players within the capital market - investors, registrars, issuinghouses, brokers, banks and regulators - can expect to enjoy a wide range ofbenefits with the launch of X-PO.