No Discount on Ansell’s DRP: What This Means for Shareholders

Dividend Update and Corrections

Ansell Limited has issued an update to its FY25 final dividend announcement, primarily to correct the calculation period for the Dividend Reinvestment Plan (DRP) reinvestment price and to confirm the final dividend exchange rate. The company reaffirmed the dividend amount at USD 0.28 per share, payable on 18 September 2025, with no changes to the previously announced quantum.

Dividend Details and Currency Considerations

The dividend is fully unfranked, reflecting Ansell’s status and tax positioning, and will be paid in US dollars. The AUD equivalent of the dividend is approximately AUD 0.4279 per share, based on the exchange rate as of early September. This currency choice aligns with Ansell’s global operations and investor base, though it introduces foreign exchange considerations for Australian shareholders.

Dividend Reinvestment Plan Specifics

Ansell’s DRP remains available for this dividend, allowing shareholders to reinvest their dividends into additional shares without paying brokerage fees. The DRP price has been confirmed at USD 22.46 per share, calculated over a five-day pricing period starting three days after the record date. Notably, there is no discount applied to the DRP price, and no new shares will be issued under this plan, indicating that reinvested dividends will be satisfied through existing shares.

Participation Conditions and Market Implications

Participation in the DRP is restricted to residents of Australia, New Zealand, and the United Kingdom, reflecting regulatory and administrative considerations. Shareholders who do not elect to participate will receive their dividend in cash. The absence of a discount on the DRP price may influence shareholder decisions on reinvestment versus cash payment, particularly in a market environment where dividend yield and share price performance are closely scrutinized.

Looking Ahead

This update provides clarity and reassurance to Ansell’s investors ahead of the dividend payment date. It also sets the stage for monitoring shareholder uptake of the DRP and the potential impact on Ansell’s share liquidity and capital management strategies.