{"id":217053,"date":"2017-12-18T14:47:10","date_gmt":"2017-12-18T12:47:10","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=217053"},"modified":"2017-12-18T14:47:10","modified_gmt":"2017-12-18T12:47:10","slug":"update-on-steinhoff-finances-expected-this-week","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/217053\/update-on-steinhoff-finances-expected-this-week\/","title":{"rendered":"Update on Steinhoff finances expected this week"},"content":{"rendered":"<p>Embattled retail group Steinhoff says it will update investors on its financial situation this week, after it meet with banking groups on Tuesday, <strong><a href=\"https:\/\/af.reuters.com\/article\/commoditiesNews\/idAFL8N1OI2AS\">Reuters<\/a><\/strong> reports.<\/p>\n<p>The group has faced a massive accounting scandal, which has wiped billions off of its market value.<\/p>\n<p>Steinhoff has been under investigation for suspected accounting fraud in Germany since 2015. Four current and former managers are under suspicion of having overstated revenues at subsidiaries, prosecutors said.<\/p>\n<p>The company, which owns the Mattress Firm chain in the US, discovered the problems with its previous year\u2019s balance-sheet accounting while reviewing statements from 2017, according to a filing last week.<\/p>\n<p>\u201cThe 2016 consolidated financial statements will need to be restated and can no longer be relied upon,\u201d the company said.<\/p>\n<p>The announcement follows a deepening scandal over the company\u2019s finances. Markus Jooste resigned as chief executive officer earlier this month, and the bedding giant appointed auditor PwC to probe accounting irregularities.<\/p>\n<p>Moody\u2019s Investors Service cut Steinhoff\u2019s rating to junk last week in the wake of the announcement.<\/p>\n<p>Billionaire Christo Wiese has been hard-hit by the scandal, with his fortune shrinking by over 609% in the wake of the allegations.<\/p>\n<p>Wiese owns 23% of Steinhoff, and was forced to take overfrom Jooste &#8211; however, even he and his family had to step away from directorship of the company.<\/p>\n<p>According to a report by Business Day on Monday, the Financial Services Board is also likely to get involved, as the <strong><a href=\"https:\/\/www.businesslive.co.za\/bd\/companies\/retail-and-consumer\/2017-12-18-fsb-may-review-wiese-steinhoff-share-sale\/\">forced sale of\u00a098.5 million of Wiese&#8217;s shares<\/a> <\/strong>needs to be looked at to make sure that no insider trading rules have been broke.<\/p>\n<hr \/>\n<p><strong>Read:\u00a0<a href=\"https:\/\/businesstech.co.za\/news\/business\/216991\/deloitte-to-be-probed-in-steinhoff-mess-report\/\" rel=\"bookmark\">Deloitte to be probed in Steinhoff mess \u2013 report<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>mbattled retail group Steinhoff says it will update investors on its financial situation this week, after it meet with banking groups on Tuesday, Reuters reports.<\/p>\n","protected":false},"author":10,"featured_media":215195,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[],"class_list":["post-217053","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/217053","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=217053"}],"version-history":[{"count":1,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/217053\/revisions"}],"predecessor-version":[{"id":217055,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/217053\/revisions\/217055"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/215195"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=217053"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=217053"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=217053"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}