Domain Holdings Declares Special Dividend Ahead of CoStar Acquisition
Domain Holdings Australia announces a special fully franked dividend of 8.8 cents per share, contingent on shareholder and court approval of its acquisition by CoStar Group.
- Special fully franked dividend of AUD 0.088 per share
- Dividend payment conditional on scheme of arrangement approval
- Key dates – ex-dividend 11 August, record 12 August, payment 19 August 2025
- Scheme approval subject to shareholder meeting and court hearings in early August
- Dividend linked to CoStar Group acquisition via scheme of arrangement
Special Dividend Announcement
Domain Holdings Australia Limited (ASX, DHG) has declared a special dividend of 8.8 cents per share, fully franked, set to be paid on 19 August 2025. This dividend is not part of the company’s regular payout schedule but is tied directly to the pending acquisition by US-based CoStar Group, Inc.
Conditional on Acquisition Scheme Approval
The payment of this special dividend is contingent upon the successful implementation of a scheme of arrangement, which will see CoStar acquire Domain Holdings through its subsidiary Andromeda Australia SubCo Pty Limited. The scheme requires approval by Domain shareholders at a meeting scheduled for 4 August 2025, followed by court approval expected on 6 August 2025. Once these approvals are secured, court orders will be lodged with the Australian Securities and Investments Commission (ASIC) by 7 August, triggering the dividend payment process.
Key Dates and Shareholder Impact
The ex-dividend date is set for 11 August 2025, with the record date on 12 August. Shareholders on the register by the record date will be entitled to receive the dividend on 19 August. The fully franked nature of the dividend means it carries a 30% corporate tax credit, enhancing its value to investors.
Strategic Implications
This special dividend reflects the terms outlined in the Scheme Implementation Deed between Domain and CoStar, announced in May and detailed in the Scheme Booklet released in June. It signals a significant milestone in Domain’s transition from an independent ASX-listed entity to becoming part of a global real estate information powerhouse. Investors should note the dividend’s dependency on regulatory and shareholder approvals, underscoring the importance of the upcoming meetings and court hearings.
Looking Ahead
As the acquisition process unfolds, Domain shareholders will be closely watching the outcomes of the August meetings. The special dividend serves as both a reward for shareholders and a marker of the company’s evolving corporate landscape under CoStar’s ownership.
Bottom Line?
Domain’s special dividend is a pivotal moment ahead of its acquisition, with shareholder and court approvals set to shape the company’s next chapter.
Questions in the middle?
- Will Domain shareholders approve the scheme at the upcoming meeting?
- Could court approval face any unexpected delays or conditions?
- How will the acquisition impact Domain’s long-term dividend policy and strategy?
