Cymbastela sodwaniensis sp. nov. (order Halichondrida: family Axinellidae) is described from the subtropical waters of Sodwana Bay on the north-east coast of South Africa. The genus was previously unknown from southern Africa or the western and eastern parts of the Indian Ocean. This record represents the westernmost extent of this predominantly Indo-Pacific to Australasian genus. This new species record brings the number of Cymbastela species described to a total of nine.