Bahrain Clear appointed as Paying Agent to undertake cash dividend distribution

In line with Bahrain Clear’s ongoing efforts to further enhance post-trade services, Bahrain Clear announced its appointment as Paying Agent to undertake cash dividend distribution for nine listed companies serving more than 170,000 shareholders representing 100 nationalities.

This initiative comes as part of Bahrain Clear’s role to enhance capital markets infrastructure, with the overall aim of protecting clients’ securities transactions.

Bahrain Clear manages the cash dividend distribution cycle end-to-end to ensure successful completion. Further, Bahrain Clear offers a number of payment methods for cash dividend distribution which includes IBAN Transfers directly into client’s designated bank account, myShare Card, and cheque payments.

Bahrain Clear continuously ensures that all shareholders KYC information is up to date in order to facilitate the swift distribution of current dividends as well as any past unclaimed dividends. Shareholders with updated KYC information will also be able to access the e-Services available to view their current portfolio.

Bahrain Clear’s clearing, settlement, Central Depository and Registry infrastructure is currently undergoing changes to increase efficiency and provide more advanced post-trade services including the enhancement to the Delivery Versus Payment (DVP) Model Framework adopted in order to ensure adherence to international standards as recommended by IOSCO.

On this occasion, Vice Chairman and Managing Director of Bahrain Clear, Sh. Khalifa bin Ebrahim Al Khalifa, said: “We are committed to enhancing the overall investor experience by facilitating cash dividend distribution and making the payment process more efficient through direct deposit into their bank accounts, resulting in tangible real-time service and ensures transformation towards paperless transactions.”

On this occasion, the Senior Director of Operations at Bahrain Clear Mr Abdulla Jaffar Abdin commented: “Bahrain Clear aims to offer efficient and secure dividend distribution channels to investors to enhance the investor experience through meeting the demand for real-time services. 

As a leading clearinghouse serving the region, Bahrain Clear will continue to roll out a range of integrated solutions to enhance overall investor experience.”

Bahrain Clear is a fully owned subsidiary of Bahrain Bourse with a disclosed capital of 5 million Bahraini Dinars and a paid-up capital of 1 million Bahraini Dinars.

Bahrain Clear is licensed by the Central Bank of Bahrain as a ‘Clearing House and Central Depository’ offering post-trade services to investors. 

Bahrain Clear’s service offering includes related services of securities transactions depository, clearing, settlement, central registry and registration.