If you hold old paper share certificates for Nigerian companies, converting them to electronic form (dematerialisation) puts them into your CSCS account where they can be traded and tracked. Here is how.
Ready to start investing in Nigerian stocks? Shares Saver registers your shares directly in your own name through SEC-regulated brokers.
Dematerialisation is the process of converting physical paper share certificates into electronic records held in the CSCS. Before the CSCS was established in Nigeria in 1997, shares were represented by paper certificates. When the electronic clearing system was introduced, investors were encouraged to dematerialise their certificates. Many investors — particularly older ones — never completed this process, leaving their shares in paper form outside the CSCS system.
Shares held in paper certificate form but not in the CSCS cannot be traded on the NGX — you cannot sell them through a broker without first dematerialising them. Dividend payments may not reach you if the registrar cannot link your paper holding to a bank account through an e-dividend mandate. Bonus shares and rights issue entitlements may go uncredited if your CSCS account does not reflect the full holding. Dematerialisation puts your shares into the modern settlement infrastructure and ensures you can access all associated benefits.
Ready to start investing in Nigerian stocks? Shares Saver registers your shares directly in your own name through SEC-regulated brokers.
The original paper share certificate contains the company name, number of shares, your name as registered, and often a shareholder reference number. You will need this for the dematerialisation process. If you have lost the certificate, a replacement can be obtained from the registrar after identity verification — the registrar's records are the authoritative source of ownership, not the physical paper.
To receive dematerialised shares, you need an active CSCS account and CHN. If you do not have one, open an account with a licensed Nigerian stockbroker or SEC-regulated investment platform. This creates your CSCS account automatically.
The dematerialisation process is administered by the registrar for each company. Contact the registrar with: the original share certificate (or request for a replacement if lost); your valid government-issued ID; your BVN; your CSCS account number (CHN); a completed dematerialisation request form (available from the registrar). The registrar will verify your identity, confirm the shareholding, and instruct the CSCS to credit the shares to your account.
Once the registrar processes your dematerialisation request, the shares should appear in your CSCS account. Check your portfolio statement through your broker to confirm. Processing typically takes a few weeks. Once credited, the paper certificate is cancelled and the electronic record in the CSCS is the legal evidence of your ownership.
Losing a paper share certificate does not mean losing the shares. The registrar maintains independent records of all shareholders. To obtain a replacement certificate or proceed directly to dematerialisation without the original: contact the registrar; provide identity verification; complete an indemnity form or statutory declaration confirming the certificate is lost; pay any applicable processing fee. Some registrars require a sworn affidavit confirming the certificate is genuinely lost.
If you have old paper certificates but are not sure which registrar to contact, a Find My Shares search can identify all holdings in your name and the registrars responsible for each.
Start a Find My Shares SearchSome registrars charge a processing fee for dematerialisation. The fee varies by registrar. Confirm the current fee directly with the relevant registrar before submitting your request.
No. Shares held only as paper certificates and not yet in the CSCS cannot be traded on the NGX. You must complete dematerialisation first before the shares can be bought or sold through a broker.
If the company merged, was acquired, or changed its name, the registrar should still have records of the original shareholding and any resulting entitlement in the successor company. Contact the registrar that currently administers the company's register — this may be the successor company's registrar. The NGX or SEC Nigeria can help identify the current registrar for historical company names.
Important disclaimer
This article is for general information and educational purposes only. Dematerialisation procedures and fees vary by registrar and can change over time. Always verify current requirements with the relevant registrar. Shares Saver does not provide financial or legal advice.
Create a free Shares Saver account and start buying Nigerian stocks directly in your name.