Shareholder services
Dividend Reinvestment Plan DRIP Scrip
A DRIP and Scrip are two ways to allow shareholders to build up their holdings in your company more quickly.
DRIPs allow shareholders to opt for additional shares purchased in the market from their dividend payment income.
Shareholders only have to pay dealing commission (1% of the purchase price of the shares, with a minimum of £2.50) and Stamp Duty Reserve Tax (SDRT) (charged at the prevailing rate of the deal value – currently 0.5%). These costs are automatically deducted from the cash to be reinvested and the plan is administered by Capita IRG Trustees Limited, which is authorised and regulated by the Financial Services Authority.
Scrip dividends also allow shareholders to increase their holding, however in this case, rather than shares being purchased from any dividend income, new shares are issued by way of a corporate action instead. This benefits participating shareholders as they don’t incur dealing costs or SDRT, however it does dilute the holding of any shareholders who choose not to participate. For you, cash that would otherwise be paid as a dividend is retained within the business.
International payment service
We have partnered with Travelex, the world’s largest payments specialists, to provide you with a service that will convert your sterling dividends into the shareholder’s local currency at a competitive rate.
The shareholder can choose to receive payment directly into their own bank account, or they can elect to receive a currency draft.
This service offers the shareholder reduced fees, competitive exchange rates, faster access to your funds and reduced risk of non delivery or fraud. You are eligible for this service when receiving individual dividend or interest payments of £25 or more. Payments of less than £25 or more than £100,000 will be paid by sterling cheque, unless otherwise agreed.
For further information on international payments please click here
Share registration and associated services are provided by Capita Registrars Limited (registered in England, No. 2605568).
Regulated and share plan services are provided by Capita IRG Trustees Limited (registered in England, No. 2729260), which is authorised and regulated by the Financial Services Authority (FSA Register No 184113, www.fsa.gov.uk/register).
Capita Share Dealing Services and Capita Share Plan Services are trading names of Capita IRG Trustees Limited.
The registered office of each of these companies is The Registry, 34 Beckenham Road, Beckenham, Kent, BR3 4TU.
© 2011 Capita Registrars Ltd
