Soho House Nears $1.8 Billion Deal to Go Private

Soho House, the private members’ club chain known for its exclusive membership and global presence, is set to go private in a deal valued at approximately $1.8 billion, excluding debt. The transaction, led by MCR Hotels along with a group of investors including controlling shareholder Ron Burkle, offers $9 per share, representing an 18% premium over the recent trading price and ending a prolonged debate over the company's future. Apollo Global is expected to contribute over $700 million in equity and debt financing to the deal. The decision to go private follows pressure from activist investor Dan Loeb's Third Point hedge fund, which had sought higher bids to enhance shareholder returns. Soho House has shown signs of financial improvement, with recent quarters reporting consistent profits and a notable 15.9% year-over-year increase in membership revenue in the second quarter of fiscal 2025. The deal is anticipated to be announced imminently, concluding the company's volatile history in the public markets.