Key points
- Implementing a capital reallocation of 84.56 cents per security
- Moving capital from Charter Hall Limited (CHL) to Charter Hall Property Trust (CHPT)
- No cash payment to securityholders, capital will be automatically applied to CHPT
Full summary
Charter Hall Group (ASX: CHC) is pleased to announce it will implement a capital reallocation of 84.56 cents per security as approved by Securityholders at the Annual General meeting held on 20 November 2024. The capital reallocation will move capital from Charter Hall Limited (CHL) to Charter Hall Property Trust (CHPT). Under the proposal, CHL will implement a return of capital of 24.52 cents per CHL share and a special fully franked dividend of 60.04 cents per CHL share, with the proceeds automatically applied as additional capital to CHPT. No payment of any cash will be made to Securityholders nor will any CHL shares or CHPT units be issued or cancelled. The company has obtained a draft Class Ruling from the Australian Taxation Office (ATO) confirming the Australian taxation implications of the capital reallocation for Securityholders, with the formal ruling anticipated to be released 5-6 weeks after the implementation date.