Perpetual Limited has updated its dividend announcement, confirming a 10-day VWAP-based DRP price of AUD 19.03 for its unfranked interim dividend of AUD 0.54 per share payable in October 2025.
- Interim dividend of AUD 0.54 per share declared for six months ending June 2025
- Dividend is fully unfranked, payable on 3 October 2025
- Dividend Reinvestment Plan (DRP) price set at AUD 19.0307 based on 10-day VWAP
- DRP shares to be newly issued with no discount applied
- Default option for shareholders is cash payment if no DRP election is made
Dividend Update and Payment Details
Perpetual Limited has provided an update to its previously announced interim dividend for the six-month period ending 30 June 2025. The company declared an ordinary dividend of AUD 0.54 per fully paid ordinary share, which is unfranked. This dividend will be paid to shareholders on 3 October 2025, with the record date set at 12 September 2025 and the ex-dividend date on 11 September 2025.
Dividend Reinvestment Plan Pricing
Alongside the dividend announcement, Perpetual has confirmed the pricing for its Dividend Reinvestment Plan (DRP). The DRP price has been calculated using the volume weighted average price (VWAP) of the company's shares over a 10-day period from 15 to 26 September 2025, resulting in a price of AUD 19.0307 per share. Notably, there is no discount applied to the DRP price, meaning shareholders opting to reinvest dividends will receive new shares at this VWAP-derived price.
DRP Participation and Share Issuance
The DRP is fully available for this dividend, with new shares to be issued rather than sourced from existing holdings. Shareholders who do not actively elect to participate in the DRP will receive their dividend payments in cash by default. There are no minimum or maximum participation limits, and the new shares issued under the DRP will rank equally with existing shares from the date of issue.
Implications for Investors
For investors, the unfranked nature of the dividend means there is no franking credit attached, which may influence tax considerations depending on individual circumstances. The absence of a discount on the DRP shares could affect the attractiveness of reinvestment for some shareholders, especially in a market where discounted DRP shares are often seen as an incentive. Nonetheless, the DRP provides a straightforward way for investors to compound their holdings without incurring brokerage costs.
Looking Ahead
Perpetual’s update clarifies key details around dividend income and capital allocation for the current financial period. Investors and analysts will be watching closely to see how shareholder participation in the DRP influences the company’s share liquidity and capital structure in the coming months.
Bottom Line?
Perpetual’s clear DRP pricing and unfranked dividend set the stage for shareholder decisions on income versus reinvestment ahead of October payment.
Questions in the middle?
- What level of shareholder participation will the DRP attract without a discount?
- How might the unfranked dividend status impact investor demand and tax positioning?
- Will the issuance of new shares under the DRP affect Perpetual’s share price or liquidity?