CSR said the company's earnings before interest and tax increased by 22pc to $216m, but the decline in construction markets and the high Australian dollar hit the bottom line hard.

However, CSR is confident the building materials market is improving, while the sugar business benefitted from increased crushing volumes, an earlier start to the crush and higher raw sugar prices, with EBIT increasing from $27.8m to $114.2m.

CSR says the $375m capital raising would help provide the capital structure for the newly demerged companies.

Under the entitlement offer eligible shareholders will be offered the opportunity to acquire CSR shares at $1.66 each on the basis of seven new ordinary shares for every 40 existing shares.

CSR is now in the final stages of due diligence to split itself in two: a sugar and renewable energy firm, and a building products company.