Steinhoff is a South-Africa based retailer with more than 40 local retail brands in over 30 countries, including Mattress Firm in the U.S., Poundland in the U.K. and Conforama in France. Its shares are listed on the stock exchanges of Johannesburg, South-Africa and, since 2015, also in Frankfurt, Germany. Its share price dropped by over 60% following several announcements starting on 4 December 2017, that Steinhoff was investigating accounting irregularities.
Steinhoff informed the market on 5 December 2017 that the publication of its audited results would be delayed pending further investigation into issues relating to the validity and recoverability of certain assets valued at c.a. EUR 6 billion. In a series of further announcements, the company stated that the extent of the irregularities was unclear, and overall possibly broader than first anticipated. The company is currently being restructured, and an independent investigation by PwC into the accounting irregularities is underway.
Deminor has proposed that the investors affected by the Steinhoff scandal seek recovery for the losses they suffered on their investments in Steinhoff in court.