Analysts have praised Steinhoff’s decision to list its African assets separately, saying the move allow the businesses to emerge from the shadow of its international operations. Sanlam Private Wealth portfolio manager Riaan Gerber said it had been clear since the failed talks with Shoprite that Steinhoff’s management team aimed to create a definitive split between the African and international businesses. "This provides an opportunity to unlock value for shareholders if one assumes the new ListCo will be priced at valuations similar to its Southern Africa peer group. "I believe that the quality of businesses such as Pepkor should justify a premium on valuation," Gerber said. Cratos Wealth senior analyst Ron Klipin agreed. He said the separation made sense from a focus perspective, with Africa as an emerging market with good GDP growth and the international markets with their own different profile. "These entities could have different ratings based on risk-reward metrics resulting in...

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