Dividend Reinvestment Plan
Summary
Purpose
The purpose of the Plan is to provide Alesco Corporation Limited shareholders with the choice of applying dividends paid or declared by the Company in subscribing for ordinary shares in the Company rather than receiving those dividends directly in cash.
Eligibility
All holders of fully paid ordinary shares are eligible to participate in the Plan unless the Directors determine that they have registered addresses in places where participation would require issue of a prospectus under overseas law.
Participation
Eligible shareholders may elect to participate in the Plan in respect of all or part of their holding and, subject to the terms of the Plan, may vary the level of participation or withdraw from the Plan at any time. Shares issued under the Plan and any bonus shares allotted in respect of Plan Shares will be added to the shareholder's Plan Shares.
Applications to participate
To participate in the Plan, eligible shareholders must complete the Notice of Dividend Election and return it to the share registry of the Company. A separate Notice must be lodged for each shareholding account. Participation in the Plan will commence on a date to be nominated by the Directors and shall be effective as regards the first dividend payment made following such nomination after receipt by the Company of the Notice of Dividend Election, provided it is received before the record date for that dividend.
Variation of level of participation or withdrawal from the Plan
Participating shareholders may vary the level of participation or withdraw from the Plan at any time by completing a Notice of Variation and returning it to the share registry.
Entitlement
Participating shareholders will be entitled on each dividend payment to be allotted, the number of ordinary shares (rounded to the nearest whole number) which the cash dividend on Plan Shares in the relevant shareholding account would purchase at the issue price. No cash balance will be carried forward.
Issue price of Plan Shares
Shares allotted under the Plan will be issued at a discount determined by the Directors not exceeding 10% of the weighted average market price of ordinary shares of the Company sold on Australian Stock Exchange Limited during the 10 trading days commencing on the fifth trading day prior to and inclusive of the date of closing of the Alesco share register for determination of entitlements to dividends as notified to the Company by Australian Stock Exchange Limited. If the issue price were to be less than the par value of the shares then a cash dividend will be paid and the Plan will not apply to that dividend.
Costs
The issue of shares under the Plan will not be subject to brokerage, commissions, stamp duty or other transaction costs. All administrative costs will be met by the Company.
Ranking of Plan Shares
Shares issued under the Plan will rank equally in every respect with the existing issued fully paid ordinary shares of the Company and will participate in all dividends subsequently declared or paid.
Plan records
Shareholders participating in the Plan will receive a statement at the time of each dividend payment showing, for each shareholding account, full details of the amount of dividend entitlement, the issue price and the number of shares issued.
Sale of shares
Shareholders participating in the Plan may sell any of their shares, including shares participating in the Plan or issued under the Plan, at any time. Shares participating in the Plan which are transferred are automatically withdrawn from the Plan on registration of a valid transfer document with the Company.
Uncertificated statements
Uncertificated statements will be issued for all shares allotted under the Plan.
Stock Exchange listing
Application will be made for all shares allotted under the Plan to be listed for quotation as fully paid ordinary shares on the Official Listing of the Australian Stock Exchange Limited.
Taxation
For income tax purposes, dividends reinvested are treated by the Australian Taxation Office in the same manner as dividends received in cash. Any imputation credit attaching to the cash dividend is also available to shareholders participating in the Plan with respect to income tax payable or withholding tax deductible in Australia. Shares received by shareholders under the Plan will, in general, be subject to capital gains tax in Australia on disposal. The cost base of the shares received under the Plan will be calculated for capital gains tax purposes on the basis that the shares are acquired at a cost equal to the cash value of the dividend which is applied in subscribing for the share. Overseas residents are advised to make their own enquiries regarding any tax liability in their place of residence.
The Company takes no responsibility for any taxation liabilities of participants. Specific tax advice should be obtained by the participant if so desired.
Modification and termination of the Plan
The Plan may be varied, suspended or terminated by the Directors of the Company at any time by giving participants written notice as provided in the Plan Rules.
NOTE: Shareholders should read the detailed terms of the Plan and not rely on this summary.
|
