Also known as a dividend in kind. A dividend which is satisfied in assets other than cash.

A company's articles of association typically authorise a company, subject to shareholder approval, to declare a dividend of a specified amount and for such amount to be satisfied by the transfer of non-cash assets of equivalent value to its shareholders (see, for example, Article 34 of the Model Articles for Private Companies Limited by Shares).

For more information on dividends, including dividends in specie, see Practice note, Dividends.