FINALLY - biggest opponent of the settlement, Conservatorium, joins in. Deloitte digs into its coffers once again.
After Steinhoff International Holdings NV was able to report positive developments in the last three weeks: Reference to the various existing variants for the future of the European Pepco Group. Then the results of the South African subsidiary Pepkor Holdings Ltd. for the Q1 of its financial year 2020/21 ending on 31.12. 2020 with a 7.7 5 increase in turnover, relatively good figures - under Corona conditions - of the growth pearl Pepco Group were also added. Then in the High Court, they managed to get clearance for the settlement from the debt providers - against fierce opposition from Conservatorium Holdings . And the decision was close. Anyway, after that, there were actually two hearings scheduled for last week Monday in the District Court Amsterdam - one brought by Conservatorium.
And after surprisingly last week Monday was only briefly announced: The hearing before the District Court will be postponed to 15.02.2021 at Steinhoff's request, "white smoke" came from Steinhoff last night:
Even with Conservatorium an agreement was reached last night! The last big opponent of a settlement is now "in line".
In London it had become clear to all parties involved that Conservatorium Holdings could well influence the settlement process with its legal remedies, possibly even blocking it:
Conservatorium Holdings LLC filed an opposition to acknowledge the decision. Conservatorium is an SPV - a hedge fund that bought up claims against Christo Wiese cheaply from a consortium of banks and is now trying to "get something from Steinhoff". In London they almost "got away" with it. The judges were quite sympathetic to Conservatorium's argument: "I reach that conclusion on the basis that although it is a third party, and not a Scheme Creditor, Conservatorium has a sufficient interest in the wider restructuring of which the present Scheme forms part to justify its views at least being heard and taken into account.
Need for action at Steinhoff - because without settlement Steinhoff is "nothing"
After the victory in London and the surprising postponement of the trial in Amsterdam, many hoped for an agreement with Conservatorium - Steinhoff needs a quick settlement so that it can start thinking about "the future" again.
And now Steinhoff seems to have reached its goal - with a double blow: even if the details are not yet public, Steinhoff is celebrating the agreement with Conservatorium Holdings and other "entities" surrounding Christo Wiese. This is about claims against Steinhoff in connection with the loan financing of Steinhoff share purchases chosen by Christo Weise and about "securities" which they think they can enforce against Stzeinhoff,
Result: the Conservatorium withdraws the suit in Amsterdam!
And thus finally clears the way for a settlement with the potential "Steinhoff victims". Although the settlement is tied to some conditions, these seem to be fulfilled at the moment.
Deloitte is probably bleeding a second time for this!
All parties involved seem tired of the uncertainty. Steinhoff apparently managed to open the coffers of Deloitte, the auditors who "waved through" the false Steinhoff balance sheets at the time and provided them with an audit certificate. Already in October last year, Deloitte paid a financial compensation to the VEB plaintiffs or committed itself to do so and thus made Steinhoff's settlement proposal more attractive for this group. On 29.10.2020 it was said: "Next step "normality" - VEB also reaches agreement with Deloitte - more money for investors".
And tonight, more than EUR 70 million is added by Deloitte.
At one point Deloitte will pay EUR 55.34 million to the group of "MPC claim holders", provided they accept the settlement with Steinhoff in a joint form and at the same time claim their participation in Deloitte's "fund". This of course increases the acceptance rate of the settlement proposal: "In that form, MPC Claimants or their representatives who in due course wish to apply to receive a part of the Deloitte MPC Settlement Fund must (i) expressly state this wish in the claim form to be published by ticking the relevant box and (ii) must expressly provide the waivers and releases for the benefit".
