Telstra operates a Dividend Reinvestment Plan (DRP) where eligible shareholders can reinvest either all or part of their dividend payments into additional fully paid Telstra shares. No brokerage or other transaction costs are payable by shareholders on shares acquired under the DRP.
Telstra expects shares allocated to participants under the DRP to be sourced through an on-market purchase and transfer of shares to participating shareholders.
Key features of the DRP - read the DRP Rules
- Participation in the DRP is optional and available to shareholders with registered addresses in Australia and New Zealand;
- No discount will apply to the allocation price under the DRP and no new share capital will be issued;
- Shareholders may participate for all or part of their shareholding and there is no minimum or maximum limit on the number of their shares that may participate;
- Shares allocated under the DRP will rank equally with existing shares on issue;
- Statements will be provided for each dividend the DRP applies to;
- Once a shareholder elects to participate, the DRP will continue to apply for future dividend payments, unless a participating shareholder advises otherwise;
- The Telstra Foundation will oversee a mechanism to donate any residual amount to selected charities. Shareholders may elect to opt out of donating their residual and roll forward any residual amount to the next payment.
Telstra recommends shareholders seek financial advice and read the full terms and conditions set out in the DRP Rules before deciding whether to participate.
In order to participate in the DRP for a dividend, shareholders need to ensure their DRP participation form is lodged, or their online election is made, by the relevant DRP election date.
Please refer below for further information on our DRP including Frequently Asked Questions.