A DRP is the opportunity to invest all, or part, of your dividends into new shares in the Company, without paying any brokerage.
If you decide to participate fully in the DRP, the Company issues new shares to you in lieu of cash.
DRP shares are issued at the Subscription Price. The Subscription Price is the weighted average market price of Shares sold on the ASX on the books closing date for the relevant dividend and the 3 days preceding that date less the Discount (currently 3% discount).
To participate in the DRP please complete the DRP Application Form and return it to our Share Registry, BoardRoom Pty Limited (contact details are noted on the Application Form).
The Australian Tax Office (‘ATO’) treats dividends the same whether the shareholder participates in the DRP or not. You will receive a dividend statement explaining the dividend and franking component to lodge with your annual tax return. The shares acquired via DRP are simply new shares purchased at the subscription price on the issue date.
Please read the Cadence Capital Ltd DRP Rules.
Please contact our Share Registry, BoardRoom Pty Limited, for any further information regarding the Company’s DRP.