RESTRUCTURING
Steinhoff receives a breather from creditors
Creditors in the key financing companies in the Steinhoff group have agreed to extend their standstill agreement until July20, giving the board an additional three weeks to firm up its restructuring plans. On Friday morning, just hours before the release of the interim results and details of the write-off of 44% of the group’s balance sheet value, the board announced most creditors of Steinhoff Europe and Steinhoff Finance Holdings had agreed to support an urgent request for an extension to its existing support agreement, which was due to expire on June 30. On Friday the group also reported it had reached agreement with third-party creditors of Steinhoff Finance, Steinhoff Europe and Stripes US Holding on the key commercial terms of the proposed restructuring plan. The plan is intended to provide stability to the group’s operational management while the board reduces debt and assesses all contingent litigation claims against the group. The group’s non-South African debt is €9.5bn, w...
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