Latest news with #MarkSardi
IOL News
2 days ago
- Entertainment
- IOL News
Can South African cinemas survive in a streaming-dominated world?
Can the cinema industry in South Africa survive in an age of streaming? In an age where streaming services offer an endless number of films at our fingertips, the global cinema industry faces challenges, grappling with declining audiences and escalating operational costs. Despite the closure of several cinemas nationwide, Ster Kinekor is confident that this year will be a good year, as it recorded its biggest 'out of season' weekend admissions of 2025 last weekend. 'This once again is proof that cinema is alive and well, and that audiences still prefer watching the new release of a blockbuster title on the big screen. It also proves that movie magic is not regulated by the calendar,' said Mark Sardi, chief executive officer of Ster-Kinekor. The strong showing was fuelled by two major releases: the live-action remake of Lilo & Stitch and the latest Mission: Impossible film, Final Reckoning. Across South Africa, several theatres have closed their doors over the past year, including long-running venues at Bedford Square in Johannesburg, Gateway in Umhlanga, and most recently, Cavendish Square in Cape Town. These closures follow years of pressure from streaming services, shifting consumer habits, and the lasting effects of the Covid-19 pandemic. Cinema chain Nu Metro recently took over the Bedford Square site previously occupied by Ster-Kinekor. It is expected to take over the Ster Kinekor cinema complex at Gateway.
IOL News
3 days ago
- Entertainment
- IOL News
The future of cinema: Can South African theatres thrive in a streaming world?
Can the cinema industry in South Africa survive in an age of streaming? In an age where streaming services offer an endless number of films at our fingertips, the global cinema industry faces challenges, grappling with declining audiences and escalating operational costs. Despite the closure of several cinemas nationwide, Ster Kinekor is confident that this year will be a good year, as it recorded its biggest 'out of season' weekend admissions of 2025 last weekend. 'This once again is proof that cinema is alive and well, and that audiences still prefer watching the new release of a blockbuster title on the big screen. It also proves that movie magic is not regulated by the calendar,' said Mark Sardi, chief executive officer of Ster-Kinekor. The strong showing was fuelled by two major releases: the live-action remake of Lilo & Stitch and the latest Mission: Impossible film, Final Reckoning. Across South Africa, several theatres have closed their doors over the past year, including long-running venues at Bedford Square in Johannesburg, Gateway in Umhlanga, and most recently, Cavendish Square in Cape Town. These closures follow years of pressure from streaming services, shifting consumer habits, and the lasting effects of the Covid-19 pandemic. Cinema chain Nu Metro recently took over the Bedford Square site previously occupied by Ster-Kinekor. It is expected to take over the Ster Kinekor cinema complex at Gateway.
The South African
5 days ago
- Business
- The South African
Ster-Kinekor to close cinemas at iconic Cape Town shopping mall
South Africa's largest cinema operator, Ster-Kinekor, has confirmed it will be closing its long-standing movie theatre at Cavendish Square in Cape Town early next month. The last day of operation will be Monday, 2 June 2025, the company announced in a statement. The closure comes as a result of a non-renewal of the site's lease, marking the latest in a series of shutdowns by the chain in recent months. 'While this chapter closes, we're firmly focused on the future and are actively investing in our current cinema complexes,' Ster-Kinekor said, assuring customers of improved viewing experiences at its remaining sites. The Cavendish Square closure is the third in 2025 alone. In March, Ster-Kinekor shut its cinema at Bedford Square in Bedfordview, Johannesburg, and on 8 May, it closed the Gateway cinema in Umhlanga, one of its largest and most high-profile locations. While initial speculation pointed to rental disputes, Ster-Kinekor maintained that its exit from Gateway was amicable, stating it had parted ways with the mall 'on good terms and with mutual respect.' Meanwhile, competitor Nu-Metro has stepped in to take over operations at both Bedford Square and Gateway. Despite the closures, Ster-Kinekor remains optimistic. CEO Mark Sardi said the company is in advanced talks to open cinemas at four new sites, described as 'commercially attractive,' while also planning major upgrades at existing locations. These include new Kids' Cinemas and premium Cine Prestige lounges. The company pointed to strong 2025 ticket sales as evidence of continued consumer interest in theatrical releases. South African cinemas also face unique local challenges, including a weakened rand which increases the cost of importing international films. Ster-Kinekor entered business rescue in January 2021 but was rescued by Blantyre Capital and Greenpoint Specialised Lending in a R250 million deal in 2022. In April 2024, the company warned it might cut nearly a third of its staff and close up to nine cinemas nationwide. However, it ultimately retrenched just 52 employees and closed only two cinemas: Boardwalk in Richard's Bay and Greenstone Mall in Johannesburg. Following the Cavendish Square shutdown, Ster-Kinekor's national footprint will shrink from 39 to 34 locations, raising new concerns about job losses. The company has not confirmed how many staff have been affected by recent closures but insists it seeks to redeploy employees wherever possible. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
IOL News
5 days ago
- Business
- IOL News
Curtain falls on Cavendish Square cinema as Ster-Kinekor closes
Ster-Kinekor has announced the closure of its Cavendish Square cinema in Claremont, Cape Town, marking the end of an era for moviegoers in the southern suburbs. The country's largest cinema chain confirmed that the site will cease operations on June 2, 2025 following the non-renewal of its lease agreement at the upmarket mall. In a statement issued on Monday, the company said: 'While this chapter closes, we're firmly focused on the future and are actively investing in our current cinema complexes to ensure that every visit delivers a truly exceptional movie-going experience.' The Cavendish closure is the latest in a string of quiet withdrawals by the cinema giant. Earlier this year, in March 2025, the closure of Ster-Kinekor's Bedford Square location in Bedfordview, Johannesburg was announced. That was followed by the shutdown of one of its flagship venues — Ster-Kinekor Gateway in Umhlanga on May 8, 2025. Patrons at Gateway were informed of the closure by a sign at the entrance, sparking speculation about potential leasing disputes with the centre's management. Despite the abrupt nature of some of the closures, Ster-Kinekor has maintained that the parting at Gateway was amicable. Meanwhile, rival chain Nu-Metro has swiftly stepped in to fill the gap, taking over operations at both Bedford Square and Gateway. While the closures may raise concerns about the state of the cinema industry, Ster-Kinekor remains optimistic. The company reports strong box office performances for several 2025 releases and continues to position itself for growth. CEO Mark Sardi stated that the company is in the final stages of securing four new sites in strategically chosen locations and has also committed to upgrading several existing cinemas. Among the planned enhancements are new Kids' Cinemas and the expansion of the premium Cine Prestige experience, both of which will be introduced at select locations in the coming months. IOL News
The South African
11-05-2025
- Business
- The South African
Ster-Kinekor shuts cinema in major South African shopping mall
Ster-Kinekor has officially shut down its cinema complex at the Gateway Theatre of Shopping in Durban, with its final day of operation on 8 May 2025. This marks the second quiet closure this year, following the earlier closure of its Bedford Square complex in Bedfordview, which was later taken over by rival chain Nu Metro. While Nu Metro is also rumoured to be taking over the Gateway location, both companies have declined to confirm the transition. Ster-Kinekor, however, stated the closure was not initiated by the company, suggesting possible disputes with mall management. 'We part ways with Gateway on good terms and with mutual respect,' a spokesperson told MyBroadband. The closure is part of a broader restructuring effort announced in 2024, driven by financial strain from South Africa's tough economic climate, load-shedding, and disruptions in Hollywood that delayed key film releases. At the time, the company warned that up to nine cinemas could be shut and 236 staff members retrenched. Following the restructure, only two cinemas were officially closed – Boardwalk in Richards Bay and Greenstone Mall – and 52 staff members, primarily at head office, were retrenched. However, the quiet Gateway and Bedfordview closures suggest further downsizing activity behind the scenes. Despite these challenges, Ster-Kinekor insists it remains focused on growth. The company said it is in advanced discussions to launch three new cinema sites, claiming they could surpass the historic foot traffic seen at Gateway. Ster-Kinekor CEO Mark Sardi previously noted that the company continues to explore alternate models with landlords, including entertainment and educational uses for cinema spaces, in an effort to adapt to shifting market conditions. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
