Amsterdam, The Netherlands: The International Steinhoff Litigation Group, through the efforts of Stichting Steinhoff International Compensation Claims (SSICC) and its attorneys, along with several other so-called Active Claimant Groups, have reached a global settlement for the benefit of affected shareholders with the boards of directors of Steinhoff International Holdings Proprietary Limited (SIHPL) and Steinhoff International Holdings N.V. (SIHNV), as well as the company’s auditor and the directors & officers liability insurers.
As part of the settlement, SIPHL/SIHNV (Steinhoff) have agreed to contribute a sum of EUR 266 million to the settlement fund for eligible market purchaser claimants to be paid 50% in cash and 50% in shares of Pepkor Holdings, a South African company that is part of the Steinhoff Group. In addition, Steinhoff’s auditors, Deloitte Accountants B.V. and Deloitte & Touche South Africa will contribute EUR 62.34 million to the settlement fund, of which, EUR 43.5 million will be ring-fenced for the Active Claimant Groups. Similarly, to the auditors, an agreement was reached with certain insurance companies underwriting Steinhoff’s (primary and excess) Directors & Officers insurance policies to contribute EUR 62 million to the settlement fund, of which, EUR 43.5 million will again be ring-fenced for the Active Claimants Groups.
“This settlement represents, in itself and under the circumstances of bankruptcy looming over Steinhoff since the 2017 scandal, a great success for shareholder compensation advocates, and particularly the group of various active litigants in a multi-jurisdictional litigation matter. This result was obtained through the vigilance and tireless efforts of investor protection advocates in South Africa, Germany and the Netherlands, and various groups have come together to achieve a unique result in a situation which could have left all shareholders empty-handed.” said Mr. Alexander Reus, Chairman of the Board of Stichting Steinhoff International Compensation Claims and Managing Partner of international law firm and litigation funder DRRT. The International Steinhoff Litigation Group brought claims against SIHPL and SIHNV in the Netherlands, South Africa, and Germany. Implementation of the Steinhoff global settlement requires the requisite support of claimants and creditors through concurrent proceedings in the courts of the Netherlands and South Africa which have now been initiated and will culminate in a June hearing in Amsterdam. The approval and implementation process are expected to take several months with the claims administration process to begin already, but result in first payments by the end of 2021.
DRRT has been appointed by Stichting Steinhoff International Compensation Claims (“SSICC”) to handle all claims filing activities for the Foundation and its constituents/participants in order to submit their claims.
About International Steinhoff Litigation Group (ISLG): ISLG is a multi-prong coalition of leading law firms, Birkway in the Netherlands, TILP Litigation in Germany, and LHL Attorneys in South Africa, and litigation funders, DRRT Limited and Therium, which was set up in 2018 with the purpose of assisting investors obtain compensation in the Steinhoff matter. The group brought litigation in the Netherlands, Germany, and South Africa.
About DRRT: DRRT is a boutique international law firm, litigation funder, and class actions claims filing service provider, assisting the world’s largest institutional investors in their global loss recovery efforts. DRRT focuses on the recovery of losses resulting from misstatements, misrepresentations, or fraud by public companies and engages in securities litigation, arbitration, and other alternative dispute resolution methods around the world.