PSG Capital’s CEO on life after Steinhoff

PSG Capital, a well-known investment firm, has recently made headlines due to its association with the Steinhoff scandal. The CEO of PSG Capital, Johan Holtzhausen, recently sat down with CNBC Africa to discuss the impact of the scandal on PSG Group's share price and the future of the company post-Steinhoff. The Steinhoff scandal, which unfolded in December, had a significant effect on PSG's share price. Investors were concerned about the uncertainty surrounding Steinhoff, leading to an overhang of shares and pressure on PSG's stock. However, Holtzhausen reassured viewers that it was a short-term issue and that once the overhang was sorted out, the market responded positively. Indeed, the recent sale of a stake in PSG Group to raise R7.1 billion has helped improve liquidity and elevate PSG closer to the top 40 index. This strategic move has been seen as a positive development for the company, despite the challenges it faced in the aftermath of the scandal. When asked about the buyers of the shares, Holtzhausen mentioned that it was a public book and that several asset managers in South Africa and Europe participated in the fundraising. He also clarified that PSG still holds a very small stake in Steinhoff and that there are no immediate plans to dispose of it. While discussing the possibility of criminal prosecution in the event of accounting fraud, Holtzhausen emphasized the importance of holding individuals accountable for criminal acts. He stated that anyone involved in fraudulent activities should face prosecution, but also noted that more information is needed before making any definitive decisions. In conclusion, Johan Holtzhausen remains optimistic about PSG's future post-Steinhoff. He believes that the company is well-positioned to overcome the challenges and continue its growth trajectory. As PSG Group moves forward, it will closely monitor the situation and make strategic decisions as needed. The Steinhoff scandal may have created turbulence for PSG Capital, but with careful management and strategic planning, the company is set to weather the storm and emerge stronger than ever.