After a tumultuous four years as a publicly traded company, Soho House is preparing to return to private ownership. The luxury members club operator announced Monday that it has reached an agreement with an investor group led by hotel giant MCR to buy its outstanding shares for $9 each in cash. Executive Chairman Ron Burkle and other major shareholders will roll over their stakes, retaining control of the company.
The transaction values Soho House at an enterprise level of roughly $2.7 billion, including debt, and the company expects the deal to close by the end of 2025, subject to regulatory approval and other customary conditions. If completed, Soho House will cease trading on the New York Stock Exchange. Shares of the company surged more than 15% by mid-morning Monday following the announcement.
Among the notable figures joining Soho House’s board post-transaction is actor-turned-tech investor Ashton Kutcher. Tyler Morse, CEO of New York-based MCR, will also join the board as Vice Chairman. In a statement, Morse said MCR has “long admired” Soho House, adding that the investment represents “a strategic opportunity to combine our operational expertise with one of the most distinctive brands in hospitality.”
Soho House CEO Andrew Carnie emphasized that returning to private ownership will allow the company to “build on this momentum” following years of growth. Founded in 1995 by Nick Jones with a single club in London, Soho House has expanded to 46 locations worldwide, alongside coworking spaces, beach clubs, and digital platforms. The company bills itself as a “global membership platform of physical and digital spaces,” with flagship clubs offering gyms, spas, and other luxury amenities. Soho House has long attracted celebrities and wealthy clientele, with membership fees often totaling several thousand dollars annually.
As of the end of June, Soho House reported more than 270,000 members. Revenue has risen in recent quarters, with the company posting $329.8 million in total revenue for its second fiscal quarter, an 8.9% year-over-year increase.
Despite its growth, Soho House’s stock has struggled since going public in 2021. Shares have fallen roughly 30%, trading below $9 on Monday, down from the $14 debut price at the company’s initial public offering. Returning to private ownership marks a strategic shift aimed at consolidating the brand and positioning Soho House for continued expansion away from public market pressures.
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