Region Group Declares AUD 0.069 Unfranked Distribution for H2 2025

Distribution Announcement Overview

Region Group (ASX – RGN), a key player in the real estate investment trust sector, has confirmed an ordinary distribution of AUD 0.069 per fully paid unit for the half-year period ending 31 December 2025. This announcement, lodged on 16 December 2025, sets the ex-date for the distribution at 30 December 2025, with the record date following on 31 December 2025. Investors can expect payment on 30 January 2026.

Distribution Details and Tax Treatment

The distribution is unfranked, meaning it carries no Australian franking credits, which is typical for some real estate investment trusts that do not pay corporate tax at the trust level. The entire distribution amount of AUD 0.069 per unit is unfranked, reflecting the trust’s income structure and tax position. Tax component details will be provided to Australian tax residents in their annual tax statements dispatched by August 2026, while foreign security holders will receive further disclosures by the end of January 2026.

Dividend Reinvestment Plan Exclusion

Region Group maintains a Dividend Reinvestment Plan (DRP) for its securities; however, this distribution is explicitly excluded from the DRP. This means investors will receive the distribution in cash rather than having the option to reinvest dividends into additional units. The decision to exclude this distribution from the DRP may reflect the group’s current capital management strategy or market conditions.

Regulatory and Approval Status

Importantly, no security holder or court approvals were required for this distribution, indicating a straightforward payment process without regulatory hurdles. This aligns with Region Group’s typical distribution practices and suggests confidence in its ongoing cash flow generation and financial stability.

Market Implications and Investor Considerations

While the distribution amount is consistent with prior payments, the unfranked nature may influence the after-tax returns for certain investors, particularly those seeking franking credits. The timing and certainty of the payment provide clarity for income-focused investors evaluating Region Group’s yield profile. However, the absence of DRP participation could limit reinvestment flexibility for some unit holders.