September 2025 is off to a rough start with more iconic business closures announced. All Cathay Cineplexes in Singapore have officially ceased operations as of September 1, 2025—marking the end of an era for one of the nation’s most iconic movie chains. The closure comes shortly after Cathay Cineplexes parent company, MM2 Asia, announced that the cinema group would enter creditors voluntary liquidation in a bid to settle mounting debts and arrears that have accumulated over several tumultuous years. Here’s what we know about the Cathay Cineplex closure in Singapore.
Cathay cinemas shutdown
The root cause of the Cathay cinema closure stems from a spike in financial losses, with a reported $122,4 million net loss in 2025, up from just $1.9 million the previous year. Meanwhile, the inability to reach agreements with multiple landlords over unpaid rent, coupled with failed restructuring talks and creditor demands, made continued operations impossible. Indeed, the cinema operator’s closure is a huge loss to Singapore’s entertainment sector.
The closure follows a trend of several Cathay outlets, such as at Jem and West Mall, shuttering earlier this year—leaving only four locations before the final shutdown on September 1, 2025.
Additionally, industry insiders cite fierce competition from streaming platforms such as Netflix, dramatically shifting consumer habits post-COVID, and unsustainably high overhead costs as critical factors in the Cineplexes downfall. Meanwhile, cinema attendance levels never fully bounced back after the pandemic.
Attempts to boost revenue, including voucher promotions, were not enough to offset millions in unpaid debts and millions more owed from a legacy acquisition loan dating back to 2017.
Certainly, Cathay Cineplexes exist is a stark reminder of the challenges traditional cinemas face in the streaming era. The closure of a brand that’s been around since 1939 highlights the changing landscape of cinema entertainment—one increasingly defined by digital disruption and evolving consumer preferences.
Did you know the original Cathay Cinema in Singapore was located in the Cathay Building on Handy Road? It launched on October 3, 1939, and was Singapore’s first air-conditioned cinema, before it was replaced by a modern multiplex in 2006. In fact, The Cathay was once the tallest building in Southeast Asia.
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