The Bank of Queensland Limited (ASX: BOQ) share price is climbing during afternoon trade, clawing back some of last week’s losses. This comes despite the regional bank not releasing any price-sensitive announcements to the ASX today.
At the time of writing, Bank of Queensland shares are up 0.88% to $9.18 apiece.
Bank of Queensland shares set to go ex-dividend
While the company has been quiet on the news front, investors are buying up Bank of Queensland shares.
A catalyst for the rising Bank of Queensland share price could be that the S&P/ASX 200 Index (ASX: XJO) is steaming ahead. As such, the benchmark index is up 0.32% to 7,439.6 points.
Another possible reason for the company’s shares pushing higher is the upcoming ex-dividend date.
Investors need to buy Bank of Queensland shares before the ex-dividend date on Thursday to be paid the final dividend.
Historically, when a company reaches its ex-dividend day, its shares tend to fall in proportion to the dividend paid out. This is because investors tend to sell off the company’s shares after securing the dividend.
What does this mean for shareholders?
For those who are eligible for the Bank of Queensland final dividend, shareholders will receive a payment of 22 cents per share on 18 November. The dividend is also fully franked which means shareholders can expect to receive tax credits from this.
Investors who elect for the dividend reinvestment plan (DRP) will see a discount applied to the volume-weighted average price. This is likely to be for a number of trading days subsequent to, and inclusive of, the ex-dividend date period.
Details of the price the DRP will be offered are yet to be released on the company’s website. It’s expected that the announcement could come in the next few days as the record date is 29 October.
The last election date for shareholders to opt-in to the DRP is 1 November.
Bank of Queensland share price summary
It has been a solid year for Bank of Queensland shares, which are trekking around 22% higher in 2021. Looking at a longer timeframe, its shares are hovering above 40% for the last 12 months.
Bank of Queensland commands a market capitalisation of roughly $5.9 billion, and has approximately 640.9 million shares outstanding.