Oando PLC, Nigeria’s leading integrated energy solutions provider has announced dividend payment to some of its shareholders, using the newly introduced electronic dividend payment platform, known as the e-dividend.
This makes Oando PLC the first public quoted company in Nigeria to implement the Security and Exchange Commissioned (SEC) endorsed payment solutions system.
The e-dividend payment system, which is currently a global best practice, represents a convenient, secured, online means of paying directly to the shareholder’s account thereby eliminating the risk of loss associated with printing and mailing dividend warrants as is currently the practice in Nigeria.
The need for more secure dividend payment came in the wake of reoccurring and high incidence of unclaimed dividends by shareholders. The existing warrant payment system has led to many problems which are as a result of inefficiency of the system, poor logistics management and inadequate update of personal data on the part of shareholders.
Commenting on this new development, the Group Chief Executive, Oando PLC, Mr. Wale Tinubu states, “This payment represents our organisation’s commitment to providing innovative solutions and services to our shareholders’ needs. We are committed to ensuring that every dividend payout to our shareholders is devoid of unclaimed issues”.
