CSR sells sugar company Sucrogen for $1.8b

CSR has sold its sugar and renewable energy company, Sucrogen, to one of Asia’s leading agribusiness groups.

Wilmar International, based in Singapore, bought the company for $1.8 billion.

CSR Chairman Ian Blackburne said: “The transaction marks a significant milestone in the 155 year history of CSR.

“The transaction completes the separation of our two very different businesses which we believe is in the best interests of all our stakeholders.”

CSR proposes to return approximately $800 million to its shareholders – approximately 52.7 cents per share – as a result of the sale.  The return of funds will comprise a capital return and a fully-franked special dividend.

CSR expects to provide further details of this capital management in early 2011, including the proposed split of the fully-franked special dividend and capital return and the proposed timing of a shareholders’ meeting to approve the capital return.

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