Steinhoff’s Supervision Board, which is trying to bring the affairs of the once-vaunted furniture company to an orderly close, has announced one further step in the process. Steinhoff’s Supervision Board, which is trying to bring the affairs of the once-vaunted furniture company to an order.
Steinhoff’s shares rallied to their highest since mid-February after indicative pricing for its European subsidiary came in at the top end of expectations.
Steinhoff is going ahead with the listing of Pepco Group on the Warsaw Stock Exchange after receiving the go-ahead from its creditors. However, the move may not be enough to stave off lenders and shareholders lining up for payback. Analysts have also questioned the decision to list in Poland rather than a larger market like London or Frankfurt, where Steinhoff itself is listed.
The initial public offering (IPO) of Pepco shares will allow it to repay expensive debt as it continues to reel from the accounting irregularities uncovered in 2017 that nearly brought it to its knees.
Pepco, previously called Pepkor Europe, is a pan-European discount variety retailer. It serves over 50 million customers a month from its more than 3,200 stores in 16 countries across Europe. It owns the Pepco and Dealz brands in Europe and Poundland in the UK, and is one of the biggest contributors to group earnings.