Steinhoff begins talks with creditors about proposals to restructure
Any restructuring deal will be a convoluted affair, with creditors forming different groups with varying priorities
London — With its €10.4bn of debt beginning to come due in August, Steinhoff International began restructuring talks with creditors in London on Friday. Creditors’ advisers have been sending the embattled retailer, which owns Pep and Ackermans in SA, Mattress Firm in the US and Conforama in France, initial restructuring proposals over the past few weeks, while discussing alternatives among themselves, according to people familiar with the matter, who asked not to be identified because the negotiations were private. Any restructuring deal will be a convoluted affair, with creditors forming different groups with varying priorities. FTI Consulting is working with bank lenders and hedge funds Attestor Capital and Davidson Kempner Capital Management, which bought bank debt and contributed new loans to Steinhoff after the December disclosure of accounting irregularities sent its securities plummeting, the people said. The members of FTI’s committee will be allowed in the meeting alongside...
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