CSCS Eyes NGX Listing As Shareholders Push for Transparency, Regional Growth

Central Securities Clearing System (CSCS) Plc is considering a potential listing on the Nigerian Exchange (NGX), a strategic move that could redefine its role in Nigeria’s capital market infrastructure and open new opportunities for growth across Africa.

The plan, disclosed at the company’s 31st Annual General Meeting in Lagos, signals CSCS’s intent to elevate its governance structure, deepen investor engagement, and unlock capital to fuel its next growth phase.

However, Temi Popoola Chairman, emphasised that the decision remains under review, with timing, market conditions, and long-term alignment at the core of the board’s deliberations.

“We recognise the self-evident benefits of listing—greater visibility, governance, and access to capital. But we must ensure it’s aligned with our priorities and sustainable for shareholder value,” Popoola stated.

Strong Financials Underscore Readiness

CSCS reported a solid financial performance for the 2024 fiscal year:

• Gross earnings rose 37% to N26.1 billion
• Profit after tax increased 18.7% to N11.95 billion
• Total assets expanded 22% to N64.43 billion
• Dividend of N1.76 per share, totaling N8.8 billion payout

These figures reflect effective cost discipline, strategic investments, and growing relevance in Nigeria’s post-trade ecosystem.

Shareholders Demand More Transparency and Broader CSR

Despite applauding the results, shareholders urged the board to deepen transparency and broaden its corporate social responsibility (CSR) efforts beyond education into healthcare, youth empowerment, and social welfare. They also highlighted rising operational costs—notably diesel and tech infrastructure—and called for better cost control.

In response, Haruna Jalo-Waziri , Chief Executive Officer of CSCS, confirmed the launch of an internal cost-efficiency audit, aimed at identifying operational savings without reducing service quality. He also revealed CSCS’s plan to adopt blockchain-enabled CSR reporting, offering real-time transparency and impact tracking for community projects.

Regional Ambition and Technological Edge

CSCS is also looking beyond Nigeria, positioning itself as a key player in Africa’s integrated financial markets. Its participation in the African Exchanges Linkage Project (AELP) is expected to boost cross-border trading, enhance liquidity, and enable a more connected African capital market.

Jalo-Waziri described 2024 as a “transformative year,” citing investments in AI, cybersecurity, and digital infrastructure as foundational pillars for CSCS’s next phase of innovation. He stressed that while forex volatility has increased tech costs, the company remains committed to staying ahead in data security and operational resilience.

“We are not just a clearing house—we are a technology-first infrastructure provider with a continental mission,” he said.

If CSCS proceeds with the NGX listing, it would signal a major shift in Nigeria’s capital market architecture. Not only would it encourage transparency and deepen investor participation, but it would also align CSCS with international best practices in post-trade operations.

With its strong financials, strategic clarity, and growing tech investment, CSCS is well-positioned to become one of Africa’s leading depository infrastructures. However, maintaining shareholder trust through governance, inclusive CSR, and operational efficiency will be crucial as the firm charts this ambitious course.