Steinhoff Africa Retail said it is refinancing loans to its Frankfurt-listed parent Steinhoff International Holdings that amounted to about R16 billion ($1.2 billion) following an accounting scandal that has left the German retailer's finances in tatters. FirstRand's Rand Merchant Bank has been appointed to handle the refinancing of the shareholder loans and ring-fence funding facilities for Star, the Johannesburg-based company said in a statement on Friday. The financing structures to be created by RMB will be used to repay Steinhoff's shareholder-loan funding and provide Star with stand-alone financing facilities, it said. Steinhoff said on Wednesday its accounting errors stretch back into 2016, highlighting the extent of wrongdoing at the retailer that's led to an 80% slump in the stock since the beginning of last week. The retailer is due to meet with banks to try to navigate a way out of its crisis, which has wiped more than 10 billion euros ($11.8 billion) off the value of the company.