WAM Income Maximiser Limited has launched a Share Purchase Plan offering eligible shareholders a discounted entry point to increase their holdings, aiming to raise up to $48.1 million to fuel portfolio growth and deliver steady dividends.
- SPP offers shares at lower of $1.602 or 2.5% discount to VWAP
- Eligible shareholders can invest up to $30,000 without brokerage fees
- November and December fully franked dividends guided at 0.35 and 0.40 cents per share
- Portfolio value up 8.6% since April 2025 IPO with 4.6% gross running yield
- Capital raised to be deployed in high-quality Australian equities and corporate debt
A Strategic Capital Raise
WAM Income Maximiser Limited (ASX, WMX), a listed investment company managed by Wilson Asset Management, has announced a Share Purchase Plan (SPP) designed to offer existing shareholders in Australia and New Zealand an opportunity to increase their investment at a discount. The plan allows shareholders to acquire up to $30,000 worth of fully paid ordinary shares without incurring brokerage fees, with the issue price set at the lower of $1.602 per share, reflecting the company's pre-tax net tangible assets (NTA) as of 30 September 2025 less the October dividend, or a 2.5% discount to the five-day volume weighted average price (VWAP) at the issue date on 17 November 2025.
Capitalising on Strong Performance
Since its IPO in April 2025, WAM Income Maximiser has demonstrated robust portfolio growth, with an 8.6% increase in investment portfolio value and a gross running yield of 4.6% including franking credits. The company aims to meet or exceed a target income return benchmarked at the Reserve Bank of Australia (RBA) cash rate plus 2.5% per annum. This performance is underpinned by a diversified portfolio allocation of approximately 75.5% equities and 24.5% debt instruments, including hybrids and cash, managed with a flexible mandate to adapt to market opportunities while protecting capital.
Dividend Incentives and Shareholder Benefits
Shareholders participating in the SPP will be entitled to the upcoming fully franked monthly dividends for November and December 2025, guided at 0.35 and 0.40 cents per share respectively. When including franking credits, these dividends effectively rise to 0.50 and 0.57 cents per share. The SPP is positioned as an equitable mechanism to grow the company’s asset base, enhance market relevance, and improve liquidity and fixed expense ratios, benefiting all shareholders.
Management’s Perspective
Chairman Geoff Wilson AO highlighted the premium at which the company’s shares have traded relative to NTA since the IPO, noting the SPP offers a rare chance to acquire shares at or below NTA. Lead Portfolio Manager Matthew Haupt emphasized the team’s success in navigating market cycles by anticipating central bank policy shifts and yield curve dynamics, contributing to the company’s outperformance with lower risk exposure.
Next Steps for Investors
The SPP opens on 20 October 2025 and closes on 12 November 2025, with new shares expected to be issued on 17 November and commence trading on 18 November. Eligible shareholders will receive application materials via email or mail and can apply online. The capital raised, capped at approximately $48.1 million, will be deployed into high-quality Australian companies and corporate debt instruments, continuing the company’s strategy of delivering consistent income and capital growth.
Bottom Line?
As WAM Income Maximiser expands its capital base, investors will watch closely to see how the fresh funds translate into sustained dividend growth and portfolio resilience.
Questions in the middle?
- How will the final SPP issue price compare to the current share price on 17 November?
- What specific sectors or companies will the new capital target within the Australian market?
- Could increased liquidity and asset size attract new institutional investors or broker coverage?