DGAP-Ad-hoc: Steinhoff International Holdings N.V. / Key word(s):
Miscellaneous
Steinhoff International Holdings N.V.: GLOBAL SETTLEMENT PROPOSAL
27-Jul-2020 / 08:00 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the Regulation
(EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
DISCLOSURE OF INSIDE INFORMATION PURSUANT TO ART. 17 OF THE EU MARKET ABUSE
REGULATION (EU 596/2014, MAR)
*STEINHOFF GLOBAL SETTLEMENT PROPOSAL *
Steinhoff International Holdings N.V. (the "*Company*" and with its
subsidiaries, the "*Group*") and the former South African holding company
for such subsidiaries, Steinhoff International Holdings Proprietary Limited
("*SIHPL*"), are today announcing the terms of a proposed settlement to
conclude the ongoing and disputed legal claims and pending litigation
proceedings arising from the legacy accounting issues first announced in
December 2017. The proposed settlement terms do not constitute an admission
of liability by any member of the Group, or its directors, officers or
employees in respect of any legal claims or litigation proceedings.
If the settlement proceeds it will result in:
- up to EUR266m being paid in settlement of market purchase claims against
the Company and SIHPL;
- approximately EUR104m being paid in settlement of claims of contractual
counterparties against the Company and approximately ZAR9.4bn being paid in
settlement of such claims against SIHPL;
- a significant majority of claims are within the scope of the settlement
however certain claims will not be settled and will be subject to ongoing
dispute;
- settlement consideration will be paid in cash and delivery of shares in
the South African subsidiary Pepkor Holdings Limited ("*PPH*") at a deemed
price of ZAR15 per share. Separate arrangements are being proposed for
claimants who are also PPH managers;
- the Company estimates that if the maximum PPH shares are applied in
settlement, the remaining shares indirectly held by the Company in PPH will
be in excess of 50 per cent of the total share capital of PPH; and
- a majority of the noted material contingent liabilities and related
uncertainty being removed from the balance sheets of the Company and SIHPL.
If no settlement is concluded the contingent liabilities will continue and
if all such claims were ultimately established in the amounts asserted, the
current net asset value of the Group would fall short of the amount required
to satisfy them in full.
The settlement is subject to financial creditor and regulatory consents, as
well as support from eligible claimants, and is subject to final
implementation. There is no certainty that such consents or support will be
obtained. One option for implementation of the settlement is by way of legal
cram down processes in the relevant jurisdictions.
For full details of the proposed settlement terms see the press release in
full at:
https://www.steinhoffinternational.com/settlement-litigation-claims.php.
Shareholders and other investors in the Company are advised to exercise
caution when dealing in the securities of the Group.
Stellenbosch, 27 July 2020
27-Jul-2020 CET/CEST The DGAP Distribution Services include Regulatory
Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de
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: 1101985
End of Announcement DGAP News Service
1101985 27-Jul-2020 CET/CEST
(END) Dow Jones Newswires
July 27, 2020 02:00 ET (06:00 GMT)
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