csr in $482m capital raising

Sydney - Monday - November 17: (RWE Australian Business News) -
CSR Ltd (ASX:CSR) today announced a capital raising of up to $482m,
around $304m of which is underwritten, to enhance its capital position.
Managing director Mr Jerry Maycock said, "We strongly believe in
the market positions of our divisions and today's initiatives represent
a prudent, proactive step to strengthen CSR's overall position during
this period of uncertainty."
CSR is seeking to raise new equity of up to $482m via:
* $304m fully underwritten placement and institutional
entitlement offer; and
* retail entitlement offer of up to $179m.
The offer is being conducted at a fixed price of $1.40.
Record date for the entitlement offer will be 7pm AEDT on
November 19.
Eligible shareholders are invited to participate on a pro-rata
basis to their existing holdings by subscribing for one share for every
four CSR shares owned at the record date.
The offer price of $1.40 represents a discount of 22pc to the
closing price of CSR shares on Thursday November 13 and a 19pc discount
to the theoretical ex-entitlement price.

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All new shares issued will be fully paid and rank equally with
existing CSR ordinary shares on issue, although the new shares will not
qualify for the 6c interim dividend for the period to September 30.
As a result of the offer, the board and management have decided
not to underwrite the DRP for the interim 2009 year dividend and are
providing shareholders who have previously elected to participate in the
DRP with the opportunity to withdraw their DRP election in respect of
the interim 2009 year dividend.
CSR expects to pay out 60pc to 80pc of net profit as its ongoing
dividend policy. This will better align dividends with future earnings.
The company has requested that its shares remain in trading halt
until November 19, pending the outcome of the institutional offer.