Ramelius Resources Confirms Fully Franked Dividend and DRP Details
Ramelius Resources has updated its dividend announcement, confirming a fully franked ordinary dividend of AUD 0.05 per share for FY2025, alongside details of its Dividend Reinvestment Plan pricing.
- Ordinary fully franked dividend of AUD 0.05 per share
- Dividend record date set for 16 September 2025
- Payment date scheduled for 13 October 2025
- Dividend Reinvestment Plan (DRP) offers 2% discount
- DRP issue price fixed at AUD 3.6225 per share
Dividend Update and Financial Context
Ramelius Resources Limited (ASX, RMS), a key player in the Australian mining sector, has provided an update to its dividend distribution announcement for the financial year ending 30 June 2025. The company confirmed an ordinary dividend payment of AUD 0.05 per share, fully franked at the corporate tax rate of 30%. This dividend reflects the company’s ongoing commitment to returning value to shareholders amid a stable operational backdrop.
The record date for determining eligible shareholders is 16 September 2025, with the dividend payment scheduled for 13 October 2025. This timeline aligns with Ramelius’s typical dividend distribution schedule, offering investors clarity on expected cash flows.
Dividend Reinvestment Plan Details
Ramelius also updated details concerning its Dividend Reinvestment Plan (DRP), which allows shareholders to reinvest their dividends into additional shares rather than receiving cash. The DRP is offered at a 2% discount to the volume weighted average price of shares traded on the ASX during the calculation period from 18 September to 1 October 2025. This results in a DRP issue price of AUD 3.6225 per share, providing an attractive entry point for reinvestment.
Importantly, the DRP securities will be newly issued shares that rank pari passu with existing ordinary shares, ensuring equal rights and dividends going forward. Participation in the DRP is optional, with the default option being cash payment if shareholders do not elect to participate.
Implications for Investors and Market
The fully franked nature of the dividend means that Australian resident shareholders can benefit from franking credits, effectively reducing their tax liability on the dividend income. The DRP’s discount and issuance of new shares may have a modest dilutive effect on existing shareholdings but also signals management’s confidence in the company’s valuation and future prospects.
While the announcement does not disclose the total dividend payout amount or the impact on Ramelius’s cash reserves, the update provides essential clarity for investors planning their portfolio income and reinvestment strategies. The market will be watching closely for actual DRP uptake and any subsequent share price movements following the dividend payment date.
Bottom Line?
Ramelius’s dividend update underscores steady shareholder returns, with DRP terms offering a strategic reinvestment option ahead.
Questions in the middle?
- What proportion of shareholders will opt into the DRP versus taking cash dividends?
- How will the new share issuance under the DRP impact Ramelius’s share price and earnings per share?
- What are the company’s plans for capital allocation beyond this dividend cycle?