VPS Scrip Dividend Programme
The service is designed to support the company’s dividend programme. By utilizing our concept,
the issuer is given the opportunity to offer the shareholders more choice in connection with the distribution of dividends. VPS Scrip Dividend Programme has no limit in terms of how many dividend distributions that may be awarded per year. We have placed great emphasis on flexibility, and each shareholder can therefore choose whether to receive the dividend in cash or shares prior to each dividend distribution. It is also possible to select a combination – both cash and shares.
- The shareholder may select to receive the entire dividend distribution, or parts thereof, as a scrip.
- Default distribution is cash. If no selection has been made, the shareholder will receive the dividend in cash.
- A scrip selection is made at the shareholder level and not at the VPS account level.
We have tailored simplicity when shareholders are allowed to subscribe directly via the issuer’s web site. The shareholder makes an electronical selection via VPS Client Services or via VPS Subscription Client. A link to VPS Subscription Client can be distributed via the issuer’s web site while VPS Client Services is distributed through the VPS web site or via agents.
VPS Scrip Dividend Programme supports
- electronic subscription
- distribution of scrip dividend
- calculations and payment of dividends
- tax at source
- shareholder reporting
- tax authorities reporting
The service enables an automated scrip dividend programme to be delivered by VPS through our systems and with a minimum of manual intervention by the issuer’s agent.