Steinhoff shares plunge after CEO quits
By Renee Bonorchis - Dec 6th 2017, 14:16
Steinhoff International plunged by a record 62% after CEO Markus Jooste quit in the wake of irregularities in the company’s accounts that require further investigation.
Shares in the furniture and clothing retailer fell as low as R17.56 before paring losses to trade 61% lower at R18 as of 09:10 in Johannesburg. That wiped R117bn off the value of the stock to give it a market capitalisation of R76.2bn, according to data compiled by Bloomberg.
The owner of France-based Conforama and Pep in Africa has appointed auditor PwC to probe the matter, it said on Tuesday. South African billionaire and chairperson of the company, Christo Wiese, will run the company on a temporary basis.
The retailer, which has origins in South Africa, has a base in Amsterdam and a primary listing in Frankfurt, said on Monday it wasn’t able to release audited full-year financial results on Wednesday due to matters related to a criminal and tax investigation in Germany.
It had previously rejected allegations of dishonesty made in Manager-Magazin. That report said Jooste is among employees being investigated by German prosecutors in a 2015 case linked to possible accounting fraud.
Steinhoff shares were trading at R20.74 on the JSE shortly after 10:00.
Pepkor takes action against Tekkie Town founders
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Steinhoff's Africa retail business Pepkor has filed a court order against former executives at shoe retailer Tekkie Town to prevent them from setting up a rival operation, the latest development in a bitter dispute.
Tekkie Town founders to launch new chain store Mr. Tekkie
14/08/2018 - 10:11
The founders of shoe retailer Tekkie Town will be launching a new retail chain supplier of branded sports apparel and footwear.
Billionaire Christo Wiese cuts Shoprite stake to free up about R3.8bn
27/06/2018 - 11:42
South African billionaire Christo Wiese will reduce his stake in Africa’s biggest supermarket chain by about R3.8bn as the businessman most stung by the near collapse of Steinhoff boosts his liquidity.
Pepkor name is back as Star distances itself from Steinhoff
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Steinhoff Africa Retail (Star) is planning to distance itself from its scandal-ridden parent by changing its name back to the original Pepkor.
Steinhoff may consider reducing its stake in Steinhoff Africa Retail
26/03/2018 - 11:31
Steinhoff International is considering the sale of part of a R58bn stake in its separately listed African operations as the crisis-hit retailer looks to shore up liquidity, according to two people familiar with the matter.