Vienna — Credit insurers had decided to withdraw insurance cover for South African retailer Steinhoff International’s loans, Steinhoff’s Austrian subsidiary Kika/Leiner said on Monday. "The loss of the credit insurance is a result of the Steinhoff crisis," Kika/Leiner said in a statement. Steinhoff, whose retail chains include Britain’s Poundland, Mattress Firm in the US and Conforama in France, has been fighting to recover from the fallout from accounting irregularities discovered in December. Steinhoff’s Austrian furniture retailer Kika/Leiner had faced one of the biggest problems within the group, but said in January it secured enough cash to see it through this year. But international credit insurers decided on Friday to withdraw insurance cover for Steinhoff’s loans against the risk of default from Monday onwards, according to several Austrian media outlets. "Steinhoff International’s global situation has still not improved," Kika/Leiner’s CEO, Gunnar George, told radio station...

Subscribe now to unlock this article.

Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).

There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.

Cancel anytime.

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.