Clime Capital Confirms Fully Franked AUD 0.0135 Dividend and DRP Price

Dividend Details and Timeline

Clime Capital Limited (ASX: CAM) has provided an update to its previous dividend announcement, confirming the details of its ordinary dividend for the quarter ending 31 December 2024. The company declared a fully franked dividend of AUD 0.0135 per ordinary fully paid share, reflecting a steady commitment to returning value to shareholders.

The record date for entitlement to this dividend is 6 January 2025, with the ex-dividend date set three days earlier on 3 January 2025. Shareholders can expect the dividend payment to be made on 24 January 2025, marking a timely distribution consistent with the company’s quarterly dividend schedule.

Dividend Reinvestment Plan (DRP) Confirmation

Alongside the dividend announcement, Clime Capital has confirmed the issue price for its Dividend Reinvestment Plan (DRP) shares at AUD 0.7824. This price is calculated as the weighted average market price of shares sold on the record date and the three trading days preceding it, with a modest 1% discount applied. The DRP remains fully optional, with the default position for shareholders who do not elect participation being a cash dividend payment.

The DRP shares will be newly issued and will rank pari passu with existing shares from the issue date, which coincides with the dividend payment date of 24 January 2025. Notably, there are no minimum or maximum participation limits or additional conditions, making the plan accessible to all shareholders wishing to reinvest their dividends.

Franking and Regulatory Context

Clime Capital’s dividend is fully franked at the corporate tax rate of 30%, providing shareholders with valuable franking credits that can offset their tax liabilities. The company confirmed that no external approvals were required to proceed with the dividend payment, underscoring the routine nature of this distribution within its financial framework.

This update follows the initial announcement made on 22 November 2024, providing clarity on the DRP pricing mechanism and reinforcing transparency for investors ahead of the payment date.

Market and Investor Implications

For investors, the confirmation of a fully franked dividend and the DRP pricing offers a clear picture of the income and reinvestment opportunities available. The modest dividend yield, combined with the option to reinvest at a slight discount, may appeal to income-focused shareholders and those seeking to compound their holdings in Clime Capital.

As the payment date approaches, market participants will be watching for the share price reaction around the ex-dividend date and the uptake rate of the DRP, which could provide signals about investor confidence and sentiment toward Clime Capital’s ongoing performance.