South Africa: Ster-Kinekor Pulls Off Mission Impossible By Successfully Exiting Business Rescue

13 November 2022
Daily Maverick (Johannesburg)
analysis By Georgina Crouth

The cinema group's fortunes are on the rise as investors, blockbuster movies and higher audience numbers help pull it out of a financial funk.

It was touch and go for a while but a R250-million investment, the relaxation of lockdown restrictions and a line-up of blockbuster movies have helped Ster-Kinekor out of a tight financial corner.

Ster-Kinekor announced in a statement on Friday, 11 November, that it had successfully exited business rescue.

Stefan Smyth, Ster-Kinekor's business rescue practitioner (BRP), said he had successfully concluded the business rescue process and the cinema group had returned to solvency, having raised R250-million from asset managers Blantyre Capital in the UK and Greenpoint Capital in South Africa.

The Ster-Kinekor board had resolved to enter business rescue in January 2021.

By August 2022, Ster-Kinekor appeared to be on route to achieving mission impossible, with Business Maverick reporting in DM168 that the ailing cinema group was buoyed by a string of hit movies, including Top Gun: Maverick (the first billion-dollar movie in Tom Cruise's career), Minions' spin-off Rise of Gru, Marvel Studios' Thor: Love and Thunder, Baz Luhrman's musical Elvis and Jurassic World: Dominion.

Ster-Kinekor was forced into business rescue due to the fallout of the...

Read the full story on Daily Maverick.

Tagged:
Copyright © 2022 Daily Maverick. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 500 reports a day from more than 100 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.