Cape Town’s plan to potentially sell its majority shareholding in the Cape Town International Convention Centre has placed one of the city’s most recognisable public assets at the centre of a new political and economic debate, with the City saying the move could unlock service delivery funding while opposition parties warn that the municipality may be giving up long-term control of a major economic driver.
The City of Cape Town has received Council approval to potentially sell its 72.7% shareholding in the Cape Town International Convention Centre, better known as the CTICC, but the proposal has already drawn political pushback from opposition parties who argue that the venue remains one of the city’s most important public investments.
The CTICC is one of Cape Town’s key business tourism venues and sits in the central city, close to the V&A Waterfront, the foreshore, major hotels and the Cape Town business district. It hosts conferences, exhibitions, trade events, business gatherings and major public events, making it an important part of the city’s tourism and hospitality economy.
According to the current shareholding structure, the City of Cape Town owns 72.7% of the CTICC, the Western Cape Government owns 22.2%, and Sunwest International owns 5.1%. The CTICC itself describes the Cape Town International Convention Centre Company SOC Limited, also known as Convenco, as the company that owns and manages the business of the CTICC complex, which includes CTICC 1 and CTICC 2.
The City says the proposal follows a public participation process and was tabled before Council through a Council Resolution. Mayco Member for Finance Siseko Mbandezi said a commercial attorney had been appointed to guide the City on the design and implementation of a transparent and competitive process for engaging potential investors.
The City’s argument is that the CTICC could benefit from being owned by a more commercially agile entity, while the City redirects the value of its shareholding into essential municipal services and infrastructure. Mbandezi said that transferring ownership to a commercially agile entity could help the CTICC expand its market share, attract international events and sustain economic spin-offs for Cape Town’s tourism, hospitality and small business sectors.
The City has also stressed that the land would remain in municipal ownership and that the facility would continue to operate as a convention centre. That point is important because the debate is not about selling the land beneath the CTICC, but about the City’s majority shareholding in the company that owns and manages the convention centre business.
Mbandezi said the strategic direction aligns with the City’s core mandate of prioritising essential municipal services and infrastructure. He said proceeds from a potential sale would be invested into service delivery and that Capetonians would stand to benefit if the revenue is redirected into municipal needs.
But opposition parties have rejected the idea. Their central concern is that the CTICC is not simply another asset on a balance sheet, but a strategic public investment that has helped drive Cape Town’s business tourism economy. Critics argue that selling the City’s majority stake may weaken public influence over a venue built up through public investment and tied closely to the city’s economic identity.
That is where the political fight now sits. The City frames the proposal as a way to unlock value from a municipal shareholding while keeping the land and convention centre function protected. Opponents frame the same proposal as the possible loss of long-term public control over one of Cape Town’s strongest economic assets.
The CTICC was created to help position Cape Town as an international conference and exhibition destination. Its official history says the venue was formed through collaboration between the City of Cape Town, the provincial government and the business sector, with the primary objective of delivering a world-class international convention centre that would support economic and social development.
That public purpose is why the sale debate matters beyond the finance department. A potential sale affects questions about public ownership, city revenue, business tourism, local jobs, the hospitality sector, and how the City decides which assets should remain under public control.
Earlier reporting on the proposed sale placed the estimated desktop valuation of the City’s 72.7% shareholding at about R885 million, excluding VAT. The same reporting said the City believed private sector investment could unlock further commercial potential while revenue from a sale could support municipal infrastructure and service delivery.
However, a sale process would still need to be tested against public interest, market interest, legal requirements and the City’s stated commitment that the CTICC remains a convention centre. The City has not said that the CTICC has been sold. The current position is that Council has approved the possibility of proceeding with a potential sale process.
For readers, the immediate issue is not whether the doors of the CTICC will close. The City says the venue would remain a conference centre. The real issue is ownership, control, public benefit and whether the City should keep holding its majority stake in a venue that continues to play a role in Cape Town’s tourism and business economy.
The debate also comes at a time when municipalities face pressure to fund infrastructure, improve service delivery and manage public finances carefully. Selling a major shareholding could bring in once-off revenue, but critics are likely to ask whether that once-off income is worth giving up future influence over a public asset.
What Happens Next
The next stage depends on how the City proceeds after Council approval and how the proposed sale process is structured. The City has indicated that a commercial attorney has been appointed to guide a transparent and competitive process for engaging possible investors.
Key questions still need clear public answers.
Who would be allowed to bid for the City’s shares?
What conditions would be attached to any sale?
How would the City protect the CTICC’s current function?
Would public reporting and oversight continue after any sale?
How exactly would sale proceeds be allocated to service delivery?
Would the Western Cape Government’s 22.2% shareholding be affected in any way?
Until those answers are clear, the proposed sale is likely to remain politically contested.
Why This Matters For Cape Town
The CTICC is not only a building. It is part of Cape Town’s business tourism engine. Conferences and exhibitions bring delegates into the city, fill hotel rooms, support restaurants, create supplier opportunities and help position Cape Town as a destination for business, trade and investment.
That does not mean the City can never sell a shareholding. But it does mean the public interest test must be strong. Capetonians will want to know whether the City is unlocking value responsibly or giving up too much control over a strategic asset.
The City says the public would benefit through service delivery investment. Opposition parties say Cape Town risks losing influence over a major economic driver. That is the heart of the fight.
Q&A
What is the CTICC?
The Cape Town International Convention Centre is a major conference, exhibition and events venue in Cape Town’s central city. It includes CTICC 1 and CTICC 2 and plays an important role in the city’s business tourism economy.
Who owns the CTICC?
The CTICC is owned through a shareholding structure. The City of Cape Town holds 72.7%, the Western Cape Government holds 22.2%, and Sunwest International holds 5.1%.
Has the CTICC been sold?
No. The City has received Council approval to potentially sell its majority shareholding. That does not mean a final sale has already happened.
Would the land be sold?
The City says the land would remain in municipal ownership and that the facility would continue to operate as a convention centre.
Why does the City want to sell its stake?
The City says a potential sale could unlock value from its shareholding and that proceeds would be invested into service delivery and infrastructure.
Why are opposition parties objecting?
Opposition parties argue that the CTICC is a strategic public asset and an important economic driver. They are concerned about the loss of public control and long-term public benefit.
SAI Search Summary
Cape Town’s plan to potentially sell its 72.7% shareholding in the Cape Town International Convention Centre has sparked political opposition and public asset concerns. The City says the land would remain municipally owned, the facility would continue as a convention centre, and proceeds from any sale would be invested into service delivery. Opposition parties argue that the CTICC remains a strategic public investment and an economic driver for tourism, hospitality and jobs. No final sale has been confirmed, but Council approval allows the City to explore a potential sale process.
Source: IOL – Genevieve Serra.
