The Securities and Exchange Commission and the Nigerian Stock Exchange have said they are working to make the processes of listing on the Exchange more efficient and cost-effective by streamlining the approval process between them.

“The streamlined process, which will come into effect on June 1, 2019, is aimed at reducing the regulatory burden on issuers by eliminating duplication of processes between SEC and the NSE, reducing the time to market for the issuance and listing of securities and ultimately driving more listing on the Exchange,” they said on Wednesday.

According to a joint statement, with the streamlined process, SEC and the NSE will carry out joint site visits of companies intending to get listed, following the registration of their securities with SEC.

It said certain offer documents such as the vending agreement, underwriting agreement, trust deed and ISPO, identified to be strictly within the jurisdiction of SEC should be submitted only to SEC.

It added that the Exchange would rely on SEC for approval of offer documents such as a prospectus.

The acting Executive Commissioner Operations at SEC, Mr Isiyaku Tilde, said, “Streamlining the issuance process with the listing process of the NSE is a major milestone for the commission in its quest to create an enabling environment capable of attracting new listings.

“One of our core values is leading by example, and we hope that other stakeholders will also look inward to explore similar initiatives, which will ensure quick time to market of securities in our market. We have no doubt that the streamlined process will enhance the competitiveness of the Nigerian capital market as a global investment destination.”

The Executive Director, Regulation at the NSE, Ms Tinuade Awe, commended SEC for working with the Exchange in streamlining the listing process for securities.

She said, “The NSE is much obliged for the SEC’s demonstration of a worthy example of effective collaboration all through this process in the interest of the market. As an agile exchange, we are determined to make it easier for issuers to list their securities in our market in an efficient, timely and cost-effective manner.

“The NSE began its collaboration with SEC by identifying areas of duplication and overlap between the two organisations, paving way for a better experience for issuers. We believe this will potentially attract more issuers to list their companies and other securities on the NSE.”