Ann Crotty Writer-at-large

Steinhoff International will sell its remaining 26% stake in KAP Industrial Holdings in a deal that could raise about R5bn for the embattled global retailer. A successful placement of the 694.2-million KAP shares held by Steinhoff will also help to free the diversified industrial group from the stigma of being associated with Steinhoff, which analysts say has held back its share price performance over the past 15 months. In a statement released to the market late on Tuesday Steinhoff said the shares would be offered to qualifying institutional shareholders. The offer will open with immediate effect and is expected to close as soon as possible. “Steinhoff intends applying the proceeds from the sale to meet  its various obligations, including (but not limited to) those arising from its announced debt restructuring process, and  to ensure its business platforms are appropriately funded,” said Steinhoff. The proposed placement comes just over a year after Steinhoff sold the first tranch...

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