Aberfan, I am not giving any expert advice, predictions or...

Aberfan, I am not giving any expert advice, predictions or information (hence disclaimer below) but merely my own beliefs and comments as an ordinary unskilled and unknowledgeable shareholder of this company.

I will hold my shares until I see what (if any) capital return there might be. I bought CSR shares originally because of the fairly regular dividends paid over time. As CSR was involved in cyclical businesses with building products, I thought that every few years or so there could be a real short-term surge in the share price during building boom periods. But you may have to wait a while for the next construction boom. Unfortuneately, the building cycle bottom (ie low new housing starts) has lasted for some time now. Even if the sugar business goes, CSR has leading building product brands, an extensive distribution network for these products as well as an attractively returning investment in a large cost-competitive aluminium smelter at Tomago, which I hope will mean that the company can continue to generate fairly strong and consistent cash flows.

I suspect the present share price of the CSR conglomerate is discounted due to negative investor sentiment about this company (including its management) and general economic factors. It is quite possible that if the sugar/energy and building products/aluminium/property businesses were demerged that the sum of the share prices for each part could trade at significantly more than the existing whole unit price. To me, however, CSR (without the sugar business) share price movements will depend on how the building cycle goes (and is expected to go) based on macro factors like interest rates, unemployment, immigration, development regulation and levies, taxes etc.


Disclaimer
Please note that I am not providing valuations, advice, information, recommendations or predictions. The above statements are merely my own comments and thoughts as an ordinary shareholder without any special skills or knowledge. I absolutely disclaim any responsibility or liability whatsoever for any consequences arising from the use of my comments and thoughts expressed. If you require advice or information, you should seek the services of an appropriately qualified independent expert professional person as well as do your own proper research.