DGAP-News: Steinhoff International Holdings N.V. / Key word(s):
Miscellaneous
Steinhoff International Holdings N.V.: Disposal of Conforama France
2020-07-08 / 12:00
The issuer is solely responsible for the content of this announcement.
*Steinhoff - Disposal of Conforama France*
Steinhoff International Holdings N.V. ("Steinhoff" or the "Company" and with
its subsidiaries, the "Group")
In its 2019 Annual Report, released on 30 June 2020, Steinhoff confirmed
that, following the COVID-19 outbreak in early 2020, the position of
Conforama France was uncertain and that the Group had been unable to secure
the state-guaranteed loan ("PGE"), for which it was eligible, to support the
business through this difficult period. At that point the Group also
confirmed that Conforama France was exploring near term options, including a
potential sale of the business.
As part of this process, wherein the Group also explored a number of new
financing options, it entered into discussions with Mobilux Sàrl
("Mobilux"), the parent company of BUT, a leading French retailer of
furniture, appliances and consumer electronics.
Following a thorough process, Steinhoff, through Conforama Holding, has
agreed to dispose of its shares in Conforama France, and certain related
trademarks and domain names, to Mobilux for a nominal sum. In addition, it
will sell a number of properties currently occupied by Conforama France. The
disposal is structured in a series of related transactions ("the Disposal"),
as follows:
- 100% of the share capital and voting rights of Conforama France SA
("Conforama France") for a nominal sum;
- certain trademarks and domain names, owned by Conforama Holding, related
to Conforama France and its franchisees for a nominal sum;
- 18 real estate properties currently occupied by Conforama France for
approximately EUR 70 million; and
- subject to competition clearance and other consents, an option over 100%
of the share capital and voting rights of Conforama Casino Achats Sàrl, a
joint venture company which is 50% owned by EMC Distribution.
As part of the transaction, Conforama France will receive new funding In two
tranches as follows:
i. After the date of signature, EUR 150 million of new funds, comprising a
PGE of EUR 100 million and a financing of EUR 50 million by Mobilux. This
new funding will enable Conforama France to finalise its restructuring
project and support an ambitious post COVID-19 recovery plan, while
honouring its commitments to suppliers and partners.
ii. At the closing date, Conforama France will benefit from a second PGE of
EUR 200 million and a EUR 200 million capital increase subscribed by
Mobilux (including the EUR 50 million received at signature).
The Disposal will secure the future of Conforama France, release the Group
from its liabilities in respect of that business and generate cash to reduce
of the current debt held by Conforama France.
The Disposal has received the required consent from the Group's creditors
but remains subject to other regulatory approvals. It is anticipated that
the transaction will close by the end of September 2020.
Stellenbosch, 8 July 2020
2020-07-08 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
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Language: English
Company: Steinhoff International Holdings N.V.
cnr Adam Tas and Devon Valley Road
7600 Stellenbosch
South Africa
Phone: +27218080700
Fax: +27218080800
E-mail: investors@steinhoffinternational.com
Internet: www.steinhoffinternational.com
ISIN: NL0011375019
WKN: A14XB9
Indices: SDAX
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover,
Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1088795
End of News DGAP News Service
1088795 2020-07-08
(END) Dow Jones Newswires
July 08, 2020 06:00 ET (10:00 GMT)
© 2020 Dow Jones News
