Firms to join Steinhoff class action on behalf of clients
JOHANNESBURG – A number of the largest institutions have decided to pursue claims on behalf of their clients and funds that suffered losses as a result of the collapse in the share price of global retailer Steinhoff.
The institutions include Abax Investments, Allan Gray, Bateleur Capital, Coronation, Denker, Electus, Eskom, Investec Asset Management, Investec Wealth & Investment, Momentum, Old Mutual, Sanlam, Tantalum Capital, Truffle and Visio Capital.
These institutions, whose clients’ and funds’ holdings collectively represented about 20 percent of the total shareholding in Steinhoff at the time the company's share price collapsed, are engaging their respective clients.
They are informing their clients that they have concluded that the "class action" case being run in the Netherlands by the Dutch law firm BarentsKrans, is their preferred legal route.
The institutions are proposing to their clients that they participate in the BarentsKrans case, which they have concluded is aimed at achieving an outcome that is in their clients’ best interests. The BarentsKrans case will be heard by the District Court of Amsterdam.
It covers shareholders that acquired shares in Steinhoff or its predecessor entity from June 26, 2013, to December 6, 2017. Martijn van Maanen, a partner at BarentsKrans, said: “The decision by many of South Africa’s largest institutional investors to participate in the BarentsKrans Steinhoff litigation follows a long evaluation process by many of them. We are pleased that so many of South Africa’s largest asset managers have chosen the BarentsKrans Steinhoff shareholder case as the most appropriate option for their clients.”
The BarentsKrans Steinhoff shareholder case is being fully funded by Claims Funding Europe, a litigation funding company based in Dublin, Ireland.
Martin Hyde, who is the director of Claims Funding Europe, said: “Institutions that participate in the BarentsKrans Steinhoff shareholder case will have the benefit of the combined experience of BarentsKrans and CFE at successfully running and resolving large class actions.”
– BUSINESS REPORT