The Dividend Reinvestment Plan (DRIP) is a convenient, easy and cost effective way to build your shareholding by using your cash dividends to buy additional shares.
How does a DRIP work?
It allows shareholders of participating companies to use their cash dividends to buy more shares in their company. Rather than receiving a dividend cheque through the post or having their bank account credited with the dividend payment, shareholders in participating companies can choose to use their cash dividend to buy additional shares in the company.
Whole shares are purchased with any residual money being carried forward and added to the next dividend. However, if the amount of the dividend, less any dealing costs incurred in completing the purchase, is insufficient to buy a single share no charge is made and the dividend is carried forward.
Confirmation of purchase
When you buy shares using a DRIP you will be sent:
- A share purchase advice
- A share certificate (unless you hold your shares electronically i.e. you are a CREST participant or hold your shares in a Corporate Sponsored Nominee)
- A dividend confirmation
Where you do not have sufficient funds to purchase a full share you will receive a non-entitled advice and a dividend confirmation.
Applying for a DRIP
Equiniti Financial Services Limited provide a Dividend Reinvestment Plan (DRIP) for the companies listed below.
To download a DRIP application form and the relevant Terms and Conditions, just click on the relevant links next to the company you hold shares in below. Completed paper application forms should be returned to the address stated on the form.
Where the option is available you may also be able to apply online.
For details on how to obtain Scrip terms and conditions if offered by a Company, please call 0371 384 2268
Lines open 8.30am to 5.30pm (UK time), Monday to Friday (excluding public holidays in England and Wales).
If you are a CREST participant, and wish to make or revoke a dividend re-investment request, please follow the CREST elections process found here.