Soho House Goes Private in $2.7 Billion Buyout With 83% Premium

Soho House, the private members’ club known for its blend of luxury, creative community, and exclusive access, is set to become a privately held company following a $2.7 billion buyout led by MCR Hotels. The New York-based firm will acquire all outstanding shares at $9 each, an 83% premium to the unaffected stock price, marking the end of Soho House’s brief four-year public market tenure [1]. The deal, announced on August 18, is backed by major investors including Apollo and Goldman Sachs Alternatives, as well as a mix of existing and new shareholders.

Ashton Kutcher, the actor and tech investor, is among the notable figures joining the board post-transaction, adding a new layer of influence from the entertainment and media sectors. Alongside Kutcher, MCR CEO Tyler Morse will also take on a board role, bringing hospitality expertise to the table. Soho House’s founding leadership, including Nick Jones and Richard Caring, will retain controlling equity, ensuring a degree of continuity in strategic direction [1].

The decision to take Soho House private reflects investor confidence in its long-term potential, particularly in an era where experiential services and exclusive memberships have seen growing demand. The 83% premium on the per-share price indicates strong sentiment among investors, who see value in the brand’s global reach and unique positioning in the luxury hospitality market [2]. The club currently operates 46 locations in 18 countries and has a membership base exceeding 270,000, with quarterly revenue hitting $329.8 million as of June 2025 [1].

However, Soho House’s public market performance was marked by challenges. The July 2021 IPO priced at $14 per share, but by mid-2025, the stock had fallen below $9, a drop of over 30%. Analysts and investors had raised concerns about profitability, high operating costs, and expansion sustainability [1]. Notably, activist investor Dan Loeb had previously pushed for a sale process, citing operational inefficiencies and financial vulnerabilities similar to those seen at WeWork [1].

The buyout, expected to close by year-end, will see Soho House delisted from the New York Stock Exchange. With MCR’s global hotel portfolio and operational experience, including properties like the TWA Hotel and High Line Hotel, the firm is positioned to support Soho House’s ambitions to open four new clubs and enhance digital member platforms [1]. The acquisition also brings financial stability and strategic direction as the brand aims to re-orient itself for profitable growth.

Soho House’s ability to maintain its signature blend of design, art, and exclusivity will be key to preserving its competitive edge in the luxury hospitality sector. As the transition unfolds, the market will be watching closely to see how MCR and the new leadership steer the brand under private ownership.

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Source:

[1] title: Soho House goes private in $2.7 billion deal as Ashton Kutcher joins the board of the swanky members’ club

url: https://fortune.com/2025/08/18/soho-house-2-7-billion-takeover-goes-private-ashton-kutcher/

[2] title: Soho House — members-only club that attracts A-listers

url: https://nypost.com/2025/08/18/business/soho-house-members-only-club-that-attracts-a-listers-to-go-private-in-2-7b-deal/