A method is disclosed for coating magnetic dispersion coatings on a continuously moving web substrate wherein regions of high shear are provided both before and after a magnetic dispersion application region. The coating apparatus comprises a die unit having a magnetic dispersion inlet and outlet, a concave lip extending arcuately from the outlet of the die unit, and a cylindrical backing roller adjacent the die unit, the die unit having an internal region of high shear, the concave lip and the cylindrical backing roller sharing a substantially common axis and forming a region of high shear in the form of a narrow gap. A coat hanger distribution chamber or cavity is also provided within the die unit between the magnetic dispersion inlet and the magnetic dispersion outlet. To even out pressure differences, a healing slot or cavity and/or a rotating bar within a cylindrical distribution chamber may be provided downstream of the coat hanger distribution chamber.