Dividend Deadline Mix-Up Could Impact Auckland Airport Shareholders’ Reinvestment Plans

Dividend Update and Correction

Auckland International Airport Limited (ASX, AIA) has issued an important update to its recent dividend distribution announcement, clarifying the last date for shareholders to submit participation notices under its Dividend Reinvestment Plan (DRP). This correction ensures investors have accurate information to make timely decisions about reinvesting their dividends.

The original announcement, released on 22 August 2025, misstated the deadline for DRP participation. The updated deadline is now set for 19 September 2025 at 3, 00 pm, with the record date for dividend eligibility on 18 September 2025. The payment date remains 3 October 2025.

Dividend Details and Currency Arrangements

The company declared an ordinary dividend of NZD 0.07 per security, which is fully unfranked, reflecting Auckland Airport’s ongoing approach to dividend payments. In addition, a supplementary dividend of NZD 0.01235294 per security will be paid, also unfranked. Shareholders registered on the Australian register will receive payments calculated in Australian dollars based on the prevailing AUD/NZD exchange rate, with the exact AUD equivalent to be announced on 1 October 2025.

Auckland Airport’s DRP remains fully operational for this distribution, allowing shareholders to reinvest dividends into newly issued shares at a 2.5% discount. The DRP price will be calculated as the volume weighted average price over five business days starting from the record date. Importantly, DRP securities will rank pari passu with existing shares from the issue date, ensuring equal rights for reinvested shareholders.

Implications for Investors

This update highlights the importance of precise communication in dividend management, especially for investors relying on reinvestment plans to grow their holdings. The correction to the DRP participation deadline gives shareholders a clear window to decide whether to reinvest or take cash payments. Given the currency considerations and the unfranked nature of the dividends, investors should also consider their tax positions and currency exposure ahead of the payment date.

Overall, Auckland Airport’s steady dividend policy and the availability of a discounted DRP option continue to offer shareholders a balanced approach to income and capital growth, even as currency fluctuations between NZD and AUD remain a factor.