Soho House is set to leave the Nasdaq after just four years, following a $2.7 billion agreement with US hotel operator MCR. The move comes after a turbulent market run that saw nearly half of the private members club operator’s value wiped out since its 2021 public debut.
Under the terms of the deal, shareholders will receive $9 per share, representing a 17.8 percent premium to the most recent closing price. Shares surged more than 15 percent after the announcement and were trading at around $8.80 in early afternoon trading.
Adding a celebrity twist to the transaction, actor and tech investor Ashton Kutcher will join the Soho House board. At the same time, hospitality veteran Neil Thomson has been appointed chief financial officer, succeeding Thomas Allen immediately.
Market experts caution that the glamour of a Hollywood name alone may not be enough to secure the company’s long-term future. Susannah Streeter, head of money and markets at Hargreaves Lansdown, noted that Soho House’s rapid expansion has raised questions about whether its exclusivity has been diluted. She added that a slowdown in consumer spending across the hospitality industry adds further pressure, particularly as Soho relies heavily on in-house purchases including meals, drinks, and entertainment.
Founded in 1995 by restaurateur Nick Jones above his Café Boheme on London’s Greek Street, Soho House has grown into a global network of clubs across Europe, North America, and Asia. Despite a steady rise in membership and revenue, the company has struggled to turn a profit since going public, prompting discussions about a return to private ownership.
Hedge fund manager Daniel Loeb, whose firm Third Point holds nearly 10 percent of Soho House, has long called for a fair sale process. Speaking to Reuters, Loeb said he welcomed the move, adding that as both a shareholder and a Soho House member he is pleased to see the club’s future placed in reliable hands.
Once the transaction closes, MCR Hotels will acquire Soho’s publicly traded shares, while founder Nick Jones and Executive Chairman Ron Burkle, along with Burkle’s Yucaipa investment firm, will retain majority control of the business.
The decision to go private represents a new chapter for Soho House, positioning it to restructure away from the pressures of Wall Street while still leaning on its exclusive global brand and celebrity appeal.
