''It is likely that the deal could be finalised this year, as our offer is still attractive,'' Ge Junjie, deputy general manager of Bright Food, told news media site China Daily.

A confident Ge Junjie is reported to have told the annual session of China's top advisory body, the Chinese People's Political Consultative Conference, that price was not a problem and a higher offer could be made to close the deal.

Bright Food representatives in Sydney said they were not aware of any new offer.

News of a fresh offer was also a surprise to CSR, though a spokesman had no comment.

Shares in CSR rose 5¢, or 3.1 per cent, to close at $1.68 yesterday as investors speculated on the likelihood of a better offer from Bright Food and the future of CSR's company structure.

The company's demerger plan has been frustrated by court action and deliberations over its future asbestos liabilities.

In January, CSR rejected a $1.5 billion approach from Bright Food to buy the 150-year old company, with CSR directors preferring to push ahead with a plan to split the sugar and energy renewables business from its building products and aluminium operations.

But the Federal Court last month scuttled that plan over concerns about the future funding of CSR's asbestos liabilities.

CSR now intends to go ahead with a structural separation, fashioning the two divisions as stand-alone businesses under the CSR public company banner.

It is unclear whether a formal takeover bid from Bright Food for CSR's sugar assets would also be blocked by the Federal Court on the grounds that the remaining business would not be able to fund asbestos liabilities.

CSR's liability for compensation stems from its mining and distribution of asbestos more than three decades ago.

As of September 30, CSR had set aside $446 million for all known asbestos-related claims and possible claims.

CSR has sought leave to appeal against the Federal Court's decision, claiming that the judgment contained errors in law.