Thursday 18, October 2018 by Bloomberg

Steinhoff says investors suspend legal action until April 2019

VEB got the green light last month to sue Steinhoff in the Netherlands, where the South African company is registered.

VEB got the green light last month to sue Steinhoff in the Netherlands, where the South African company is registered.

Steinhoff International Holdings NV said Dutch investor group VEB has agreed to hold off legal action against the scandal-hit retailer until 1 April to give the company time to reorganise the business and prepare financial statements.

“This agreement allows us time to focus on completing these tasks in the interests of all stakeholders,” Chief Executive Officer Danie van Der Merwe said in a statement on Wednesday.

VEB got the green light last month to sue Steinhoff in the Netherlands, where the South African company is registered. It claims the retailer published incorrect financial statements and press releases ahead of an accounting scandal that’s wiped more than 95 per cent off the share price. Steinhoff is also being sued elsewhere, including by former no. 1 shareholder and billionaire Christo Wiese.

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