Steinhoff finally wins the battle for Poundland

Poundland shareholders have backed Steinhoff‘s takeover of the company, following a drawn-out and difficult negotiation period.

South African retail company Steinhoff has been given overwhelming support from shareholders to go ahead with the £610 million deal.

The news follows concerns that US hedge fund Elliot Management could block the deal, after securing a 25 per cent stake in the company and forcing Steinhoff to up its bid for the company significantly.

RELATED: Elliot Capital could halt Steinhoff’s Poundland takeover

However, 98 per cent of shareholders backed the deal and the turbulent takeover appears to be securely on course and Poundland will go private.

Following intervention from Elliot Management, Steinhoff raised its bid last month to £610.4 million at 227p per share, up from £597 million in July.

Steinhoff has been attempting to expand its business in Europe for some months, losing out on a deal to buy Argos to Sainsbury‘s. It currently owns Harveys and Bensons for Beds.

Last month the company released a statement warning that the fall in the value of the sterling could negatively affect its business in the future. 

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