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Shares Saver is powered by Crown Capital Limited, a stockbroker registered and regulated by the Securities and Exchange Commission (SEC) of Nigeria. All securities transactions, including the purchase and sale of shares, are carried out through Crown Capital Limited. Shares Saver does not make any recommendations to buy, sell or otherwise deal in investments. Investors make their own investment decisions. The services and securities provided by Shares Saver may not be suitable for all customers and, if you have any doubts, you should seek advice from an independent financial adviser. The value of investments can go up as well as down and you may receive back less than your original investment.

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  2. Employee Share Custody Structure

Employee Share Custody Structure in Nigeria

How employee shares are held, protected, and independently owned under a Shares Saver administered scheme — including CSCS direct registration, fund segregation, and what happens on a change of control.

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How employee shares are held

1. Direct CSCS Registration

Each employee participant is registered as the direct beneficial owner of their allocated shares at the Central Securities Clearing System (CSCS). Shares are credited to the employee's own CHN (CSCS Holder Number) — not held in an omnibus account on behalf of all participants. Ownership is independently verifiable at the central Nigerian securities registry.

2. Segregated Trust Account for Scheme Funds

Employee payroll deductions accumulate in a dedicated trust account established under a formal trust deed — entirely separate from the company's operating accounts. The trustee is an independent financial institution. Scheme funds cannot be treated as company assets, protecting participants in the event of employer financial difficulty.

3. Participant Transparency

Every participant accesses a personal dashboard showing their live CSCS account details, vesting schedule, share balance, and dividend history. Employees can independently verify their holdings through any NGX-licensed stockbroker or directly with CSCS at any time — no reliance on the employer or administrator to confirm ownership.

Custody & Protection — Frequently Asked Questions

Are employee shares registered directly in the employee's name?

Yes. Under the Shares Saver model, each employee participant is registered as the direct beneficial owner of their shares at the Central Securities Clearing System (CSCS). The employee holds their own CSCS account, and shares are credited to that account — not held in a nominee pool or omnibus account on behalf of all participants. This means the employee's ownership is recorded at the official Nigerian securities registry without reliance on the employer or administrator to prove entitlement.

What is the CSCS and why does it matter for employee share custody?

The Central Securities Clearing System (CSCS) is the central depository for all Nigerian Exchange Group (NGX) listed securities. Every listed share in Nigeria is dematerialised — it exists as a digital record at CSCS, not as a paper certificate. When an employee's shares are registered at CSCS in their own name, their ownership is independently verifiable at the central registry. This provides a level of ownership security that paper certificates or ledger-only records cannot match.

What happens to an employee's shares if Shares Saver ceases to operate?

Because shares are registered directly at CSCS in the employee's name, they are not affected by any change in the scheme administrator's operational status. The shares belong to the employee independently of Shares Saver. In a wind-down scenario, employees would retain full access to their shares through any NGX-licensed stockbroker using their CSCS account number. The administrator's role is operational — it does not hold the shares on behalf of participants.

What happens to unvested shares if the company is acquired or delisted?

The treatment of unvested shares on a change of control or delisting event is governed by the scheme's trust deed and plan rules. Common provisions include: automatic accelerated vesting of all unvested shares on a change of control (full acceleration); partial acceleration based on time served; or cash settlement at the last traded price. The specific provision must be documented in the scheme rules and disclosed to participants at enrolment. Shares Saver ensures these provisions are clearly documented and reflected in the administration system.

How are employee share scheme funds segregated from company assets?

Scheme funds — the cash held pending allotment of shares — are held in a dedicated trust account established under a formal trust deed, separate from the operating accounts of both the employer company and Shares Saver. The trustee is typically an independent financial institution. This segregation means that if the employer company faces financial difficulty, scheme funds cannot be treated as company assets available to creditors. CSCS-registered shares are already legally owned by individual employees and are entirely outside the company's balance sheet.

Can an employee see their CSCS account and share balance independently?

Yes. Every Shares Saver participant has access to their personal dashboard showing their live CSCS account details, registered share balance, vesting schedule, dividend history, and transaction history. Employees can also verify their holdings independently through any licensed stockbroker or by contacting CSCS directly using their CHN (CSCS Holder Number). The combination of direct CSCS registration and a transparent participant portal gives employees full independent visibility of their ownership.

Related Resources

How Your Shares Are HeldWho Regulates Shares SaverHow Employee Funds Are ProtectedEmployee Share Scheme ProviderEmployee Share Plan FAQRegulatory Guide Nigeria

Set Up a Compliant Employee Share Scheme

Shares Saver provides direct CSCS registration, segregated trust fund management, and full participant transparency for Nigerian listed companies running employee share investment schemes.

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