Steinhoff Lenders Roll Back Support in Wake of Accounting Irregularities

By Carlo MartuscelliFeaturesDow Jones Newswires

Shares in Steinhoff International Holdings N.V. (SNH.JO) plunged after it gave a presentation on Tuesday where it said lenders were increasingly withdrawing their credit facilities.

The South African retailer said that there an uncertainty as to the financial situation of the company at the group level. Credit insurance and cash pools were being cancelled, it added.

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Steinhoff said it could not update the market on the timings of either its 2017 financial accounts or its restated 2016 accounts. It added that it did not yet know whether the financial statements of any additional years would require restatement.

PricewaterhouseCoopers (PWC.XX) has begun an examination of the company's books, the Steinhoff said.

The retailer is embroiled in an accounting scandal following the discovery of possible problems in its books that could affect some $7 billion in assets.

Steinhoff International shares down 12 cents, or 24%, to 39 cents.

Write to Carlo Martuscelli at carlo.martuscelli@dowjones.com

(END) Dow Jones Newswires

December 19, 2017 10:50 ET (15:50 GMT)