CAPE TOWN (Reuters) - South African retailer Steinhoff’s (SNHJ.J) total debt of over 9 billion euros ($10.1 billion) is “too high” and needs to be urgently addressed, new chief executive Louis du Preez said on Tuesday as the firm unveiled its restructuring plan.
“All the various debt instruments that previously existed will be re-issued. Secondly, the group at group level will not pay any cash interest,” du Preez said in a presentation to investors.
“The debt in this group is too high ... We acknowledge as the group that this debt is extremely expensive,” said du Preez, adding the debt matured in December 2021 at coupon rates between 7.875% and 10.75%. ($1 = 0.8936 euros)
Reporting by Wendell Roelf; Writing by Mfuneko Toyana; Editing by Keith Weir