Could Steinhoff be preparing for a listing?
Steinhoff could be ready to list its South African operations separately as a retail entity, says Cratos Wealth portfolio manager Ron Klipin
Integrated retailer Steinhoff could pull a rabbit out of the proverbial hat following the restructuring of its South African operations. On Wednesday Steinhoff CEO Markus Jooste said that in the quarter ended September 2016, the group had closed 84 stores in the local household goods operations. "It was a very disruptive quarter. We spent €25m of the restructuring budget during the period under review and the remaining €5m is expected to come through during the next three months," he said. Cratos Wealth portfolio manager Ron Klipin said the closure of the stores could be in preparation for a listing. "The stores that were closed were probably from the JD Group. Steinhoff could be ready to turn around and list the South African operations separately as a retail entity," said Klipin. Currently, 61% of the group’s revenue is earned in Europe and the UK. Africa — and mostly SA — contributes 32%. In the period under review, the group’s total revenue increased 12.1% to €3.4bn. Approximate...
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