Steinhoff wants more time to complete restructuring

Steinhoff wants more time to complete restructuring

Cape Town - 180905 - Former Steinhoff CEO Markus Jooste made his first public appearance in Parliament since auditors flagged irregularities in the retailer’s accounts. Photographer: Armand Hough / African News Agency (ANA)

The company may sell shares in an attempt to obtain funds for the next phase of its recovery plan.

Steinhoff International Holdings has requested consent from creditors to extend the date for the completion of the group’s restructuring from August 9 to August 19, 2019, it said in a note to shareholders on Thursday.

In the note, Steinhoff said it had decided to request the extension despite what it deemed significant progress in the implementation of the restructuring, as well as the resolution of almost all matters required prior to beginning restructuring. However, it added, a few issues outside of the control of Steinhoff Europe AG (SEAG) and Steinhoff Finance Holding GmbH (SFHG) have not been concluded.

“The additional extension is required in order to allow sufficient time to put in place the final steps of the implementation of the restructuring,” it said.

“The remaining matters are expected to be resolved shortly and the group continues to work to implement the restructuring as soon as possible.” Steinhoff advised shareholders and other investors in the company to exercise caution when dealing in the securities of the group.

Bloomberg reported on Wednesday that Steinhoff International Holdings was apparently considering an initial public offering of Pepkor Europe in an attempt to obtain funds for the next phase of its recovery plan. The business – which owns the Pepco and Dealz chains as well as Poundland in the UK – could sell shares in the next year, sources wanting to remain anonymous told the news agency.

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