Steinhoff shares plunge 66% as CEO quits amid accounting scandal

Steinhoff shares plunge 66% as CEO quits amid accounting scandal

Earlier this year Poundland put United Kingdom discount chain 99p Stores - which it bought for £55m two years ago - into administration.

Steinhoff said chief executive Markus Jooste, who had been at the helm for almost 20 years and oversaw its expansion to one of the world's largest household goods retailers, had resigned with immediate effect and consultants PwC would undertake an "independent investigation".

Poundland owner Steinhoff International has seen its shares fall by up to 66% after it said it would launch a probe into accounting irregularities.

Shares in Steinhoff International fell by about 60 per cent after the news was announced.

The group on Tuesday said that its results for the year to end-September would be released "when it is in a position to do so". "In addition, the Company will determine whether any prior years" financial statements will need to be restated'.


South African billionaire and chairperson of the company, Christo Wiese, will run the company on a temporary basis.

In its statement the company added: "Shareholders and other investors in Steinhoff are advised to exercise caution when dealing in the securities of the group". As well as furniture and homeware, it also sells products including clothing, footwear and consumer goods. It already owned Bensons for Beds and Harveys at that time.

"Steinhoff will update the market as the aforesaid investigation proceeds, ' the company said in a statement".

The company said (http://www.steinhoffinternational.com/downloads/2017/Announcement%205%20Dec%202017%20JSE.pdf) "new information has come to light today which relates to accounting irregularities requiring further investigation". The board has also approached auditor PWC to investigate allegations of irregular accounting practices.

It is unclear what accounting irregularities the company was referring to in its statement on Wednesday.

Related Articles

  • Intel (INTC) Receiving Somewhat Favorable News Coverage, Analysis Finds

    On average, equities research analysts forecast that Intel Co. will post $2.86 earnings per share for the current fiscal year. Park National Oh holds 831,773 shares. 183,103 are owned by Old Mutual Customised Solutions (Proprietary). (NYSE:NWY).

    AGF Investments Inc. Has $59.42 Million Holdings in Adobe Systems Incorporated (ADBE)

    Of those analysts, 19 rate stock as a Strong Buy, 4 rate it as Hold, and just no analyst rates it as a Moderate Sell. Adobe Systems Incorporated , a U.S. based Company, belongs to Technology sector and Application Software industry.
    United reach UEFA Champions League Last 16

    United reach UEFA Champions League Last 16

    The Bavarian giants are not the force of old and PSG to win the match after conceding first could be worth a play at 9/1. They have claimed maximum points from five matches so far and could be worth siding with to beat Bayern Munich away.
  • Sheriff: 2 students shot at Pierce County high school

    Sheriff: 2 students shot at Pierce County high school

    One student was found near the school's football field, the other in a locker room, according to the local Sheriff's office. Police also shared an image of a green Chevy Impala that was believed to be a getaway auto .
    Dribbles and SCORES! Cristianinho emulates his dad Cristiano Ronaldo

    Dribbles and SCORES! Cristianinho emulates his dad Cristiano Ronaldo

    We hope to come back from (the Club World Cup) with a title because it would be good for the group in terms of motivation. He continued: "VAR? I'm in favour of technology provided that the essence of football is not lost".
    Austrian court rules in favor of same-sex marriage

    Austrian court rules in favor of same-sex marriage

    The two were already in a civil partnership, but they were refused a formal marriage in Vienna by the city's authorities. The ruling paves the way for the removal of the phrase "different sex" from Austria's marriage law on December 31, 2018.
  • US Interior Secretary Urges Size Cuts to More National Monuments

    US Interior Secretary Urges Size Cuts to More National Monuments

    Patagonia must be confusing the monument issue with the federal land transfer movement. Cortez Masto, in fact, recommends Congress be in charge of any alterations.
    Illegal immigrant acquitted in Kate Steinle trial to face federal firearm charges

    Illegal immigrant acquitted in Kate Steinle trial to face federal firearm charges

    Garcia Zarate's defense attorneys say they will appeal that conviction which carries a maximum penalty of three years in prison. Garcia-Zarate is a seven-time convicted felon and had been deported from the US five times.
    Suspect in shooting of Missouri officer dies

    Suspect in shooting of Missouri officer dies

    This evening, the sheriff of Jefferson county said there is, "Always a lot of speculation into police shootings". He has been with the Arnold Police Department for three years and before that served in Ferguson and St.
  • RBI Keeps Interest Rate Unchanged, Raises Inflation Forecast

    RBI Keeps Interest Rate Unchanged, Raises Inflation Forecast

    The Reserve Bank of India kept repo rate unchanged in its fifth bimonthly meeting today. The RBI kept the rates unchanged in its last meeting in October.
    Blumenthal: Trump may be guility

    Blumenthal: Trump may be guility "of obstruction of justice"

    He declined to further elaborate, instead referring to comments made by Harvard Law School professor Alan Dershowitz . Trump later "suggested" to the F.B.I. director, James Comey , that he should drop the F.B.I.'s investigation of Mr.
    John Hallyday, pioneer of rock 'n' roll in France, dies at 74

    John Hallyday, pioneer of rock 'n' roll in France, dies at 74

    His ability to bounce back from the tragedies life threw at him is what made him a folk hero among the French people. Hallyday's 2001 concert at the Eiffel Tower drew a crowd as large as 600,000.