Steinhoff Raises EUR1 Billion By Listing And Placing 23.19% Of Its Interests In STAR on the JSE

Steinhoff has announced that Steinhoff African Retail Limited (STAR) listed on the JSE on 20 September 2017 and issued 750 million new STAR shares under a private placement in a book that was 4.8 times oversubscribed, raising an aggregate amount of R15.4 billion.

The proceeds from the Private Placement were distributed by STAR to subsidiaries of Steinhoff. Post the Listing, STAR shares traded consistently above the Listing price of R20.50 per share.

Subsequently, STAR´s stabilisation manager, Citi Bank, exercised a call option to purchase a further 50,000,000 existing STAR ordinary shares from Steinhoff for delivery to external STAR shareholders under an overallotment option. Accordingly, the listing of STAR resulted in the placement of an aggregate of 800 million STAR shares and total capital raised of approximately R16.4 billion.

Steinhoff subsidiaries received an aggregate amount of approximately R16 billion (EUR1 billion) from the Distribution and disposal of the Overallotment Shares.

STAR continues to trade above the Listing price, valuing STAR at R75.6 billion as at close of business on 29 September 2017. Post all of the above transactions, Steinhoff continues to indirectly hold 76.81% of STAR´s issued share capital. Moody´s Investors Service released a note on Steinhoff on Friday 29 September 2017 titled “Listing of 23.19% of African Retail assets credit positive” regarding the Listing of STAR.

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