Ann Crotty The fact that shareholders are actually due to get some, albeit small, compensation for their losses is almost unique in South Africa and should be embraced. Steinhoff. Picture: Supplied
Depending on who you’re listening to, Steinhoff is offering the ordinary South African investors who collectively lost untold billions of rands in the value of their Steinhoff shares an “excellent deal” or a “starkly discriminatory” one.
Chances are, if you’re one of those ordinary South African investors, or what Steinhoff terms a ‘market purchase claimant’ (MPC) you’ll be feeling decidedly discriminated against.
If, on the other hand, you’re what Steinhoff has termed a ‘contractual claimant’ (CC) you’ll believe the ordinary investors are getting a lot more than they deserve.
Ann Crotty Dublin-based Hamilton has slammed the proposed settlement agreement as unfair and discriminatory. If Steinhoff’s contractual claimants such as Christo Wiese-related entities and GT Ferreira were treated in the same manner as the thousands of shareholders who bought their shares in the market, Wiese’s proposed payout would be reduced from R7.9 billion to R1 billion and Ferreira’s from R421 million to R29 million, says a party acting on behalf of around 20% of Steinhoff’s shareholders. Dublin-based Hamilton, which is managing a class action case on behalf of major institutional investors such as Ninety One, Allan Gray, Old Mutual, Coronation and Sanlam, has slammed the proposed settlement agreement as unfair and discriminatory. ALSO READ:.
MONEYWEB
app instead? 00:01
Open:
If the claim by Christo Wieseâs Thibault was calculated using the mechanism applied to that of an everyday investor, it would drop from R31.8m to R15.4m. Image: Waldo Swiegers, Bloomberg
If Steinhoffâs contractual claimants such as Christo Wiese-related entities and GT Ferreira were treated in the same manner as the thousands of shareholders who bought their shares in the market, Wieseâs proposed payout would be reduced from R7.9 billion to R1 billion and Ferreiraâs from R421 million to R29 million, says a party acting on behalf of around 20% of Steinhoffâs shareholders.
MONEYWEB
app instead? 00:01
Open:
Open:
Just four weeks into the new year and the Steinhoff share price has already almost doubled.
It is the strongest and most sustained run in the share price since the groupâs implosion a little over three years ago; an implosion that saw the share price plunge from around R56 in late November 2017 to a mere R5 a month later.
Steinhoff over three years
It will be of little comfort to those who suffered in the R200 billion-plus value wipeout to know that the current R2.10 is the strongest itâs been since early 2019. In January that year it edged above R2, but only briefly.