How to Activate e-Dividend Mandate Form

If you subscribed to a public offer between 2005 and 2010, you’re most likely one of the millions of shareholders who received their share and dividend certificates via the postal system.

But technology has advanced the way we invest. As such, here is the guide on how to activate electronic dividends, or e-dividends, by filling out the necessary details in the mandate form.

What is e-Dividend?

E-dividend is the process of paying dividends to shareholders through direct credit into their preferred bank account electronically, rather than the old way of issuing paper dividend warrants through the postal service.

Why You Should Activate e-Dividend

As an investor in the capital market, there are numerous benefits of e-dividends, with the major ones including:

1. Prompt receipt of dividends when profits are declared.
2. Elimination of the issue of unclaimed dividends, which is a significant problem in Nigeria’s capital market.
3. Upon activation of your e-dividend form, you will not only receive current dividends but also past dividends.
4. It increases liquidity in Nigeria’s capital market.

What does this mean?

You no longer need to check your P.O. Box or any other means you previously used to receive your dividend warrant.

Today, once you fill out the mandate form, your e-dividend will be activated, and your bank account will be credited whenever the company declares profits.

In Nigeria, the e-Dividend Mandate Management System is maintained by the Securities and Exchange Commission.

Required Document:

• Share certificate
• Shareholders account number
• Your full name
• Bank Verification Number
• Functional email address you have access to
• Your address
• Account number
• Bank name
• Phone number
• Shareholders signature
• CSCS Clearing House Number

Three Ways To Get e-Dividend Mandate Form

1. On the website of SEC
2. Through accredited stockbrokers
3. Banking halls

On the website of SEC

• On the official portal of SEC, there is a link to e-mandate form for all registered and accredited registrar
• Choose the one that applies to you,
• Download it,
• Fill it out and submit it to the registrar

Via accredited registrars

All listed companies on the Nigerian Exchange (NGX) have accredited registrars and brokers.

For Veritas, which is the registrar for Guinness Nigeria, you can get the form at: veritasregistrars.com/Downloads/new-e-dividend.pdf

For Cardinal Stone, which is the registrar for Acorn Petroleum, FCMB Group, Total Nigeria etc, the e-mandate form is available at: cardinalstoneregistrars.com/wp-content/uploads/2021/04/E-dividend-Mandate-Form.pdf

For Greenwich registrars, which maintains the record of shares and dividends of companies such DANA Group, FAN Milk, John Holts, Wema Bank, University Press etc, you can find and download the form at: greenwichregistrars.com/wp-content/uploads/2022/08/GRDS-e-Mandate-Activation-Form-UPDATED-1.pdf

You can find the registrars of the company where you bought stocks and request the e-mandate form, it will be emailed to you.

Banking halls

If you are not using any of the above methods, you can approach the bank or agents from where you bought the shares and request an e-mandate form.

For instance, FCMB will guide you if it’s FCMB shares you bought. But the two above are the most easiest ones.

Note:

You only need to provide this information for the shares to be tracked and the necessary dividends to be paid into your account after completing the mandate process.

When you receive the mandate form to begin the process of claiming your unclaimed dividend, download it (you do not need to print it). It will most likely be in PDF format. There are several free online PDF form signing tools available that you can use.

If you don’t have CSCS account number and clearing house number, your stockbroker (registrars) can handle this for you.

Featured Image:

• Sample of e-Dividend Mandate Form By GTL Registrars