Special Dividend Payment Could Signal Risks in Infomedia’s Acquisition Deal
Infomedia Ltd has announced a fully franked special dividend of 2.9 cents per share, payable in late November, linked to its pending acquisition by McQueen BidCo Pty Ltd.
- Special dividend of AUD 0.029 per share declared
- Dividend fully franked at 30% corporate tax rate
- Dividend payment contingent on court approval and scheme effectiveness
- Dividend reduces acquisition scheme consideration by same amount
- Acquisition by McQueen BidCo Pty Ltd managed by TPG Capital (S) Pte. Ltd.
Special Dividend Announcement
Infomedia Ltd (ASX, IFM), a technology company specialising in software and services, has declared a special fully franked dividend of 2.9 cents per share. This dividend is scheduled for payment on 28 November 2025, with the ex-dividend date set for 24 November and the record date on 25 November.
Context of the Dividend
The special dividend is closely tied to the company’s proposed acquisition by McQueen BidCo Pty Ltd, an entity owned by an investment vehicle in Singapore managed or advised by TPG Capital (S) Pte. Ltd. This acquisition is structured as a scheme of arrangement, which requires court approval and other regulatory clearances before becoming effective.
Importantly, the payment of this dividend will reduce the overall scheme consideration by the same amount; 2.9 cents per share; regardless of whether shareholders receive the dividend. This mechanism ensures that the acquisition price reflects the dividend payout, maintaining fairness for all parties involved.
Regulatory and Shareholder Implications
The special dividend is fully franked at the corporate tax rate of 30%, which is beneficial for shareholders seeking tax credits. However, the dividend payment remains conditional on the scheme becoming effective and court approval being granted. This introduces an element of uncertainty, as the transaction is still subject to regulatory scrutiny.
Infomedia also confirmed that its Dividend Reinvestment Plan will not apply to this special dividend, meaning shareholders will receive the payment in cash rather than reinvesting in additional shares.
Looking Ahead
This announcement follows the initial scheme details released on 7 October 2025 and marks a significant step towards completing the acquisition. Investors will be watching closely for court approval and any updates on the scheme’s progress, which will ultimately determine the timing and certainty of both the dividend payment and the acquisition itself.
Bottom Line?
As Infomedia moves closer to acquisition, the special dividend underscores the complex interplay between shareholder returns and deal structuring.
Questions in the middle?
- Will the court approval for the scheme be granted without delay?
- How will the special dividend impact Infomedia’s share price leading up to the ex-date?
- What are the strategic plans of McQueen BidCo and TPG Capital post-acquisition?
