Long-standing shareholders including Yucaipa Cos. executive chairman Ron Burkle; Soho House founder Nick Jones; and investor Richard Caring will retain their controlling equity interests, signaling continuity at the club’s leadership level. Goldman Sachs Alternatives, a backer since Soho House’s IPO, is also committing further capital to the venture.
Pending shareholder and regulatory approval, the deal is expected to be completed by year-end. Upon closure, Soho House shares will be delisted from the New York Stock Exchange, turning the business into a privately held enterprise.
Still, Soho House’s journey on the public markets has faced consistent headwinds. Its July 2021 IPO priced shares at $14, but by mid-2025, shares had sagged to below $9, reflecting more than a 30% drop as profitability concerns and market volatility dogged the brand. Investors and analysts cited business model pressures, high operational costs, and slower-than-hoped expansion as reasons for the lackluster performance.
CEO Andrew Carnie told Fortune at the time that he saw a three- to five-year plan ahead, although a company spokesperson later clarified Carnie wasn’t putting a time frame on Soho House’s path to profitability, but rather on “holistically reorientating the business against our strategic priorities of growing and enhancing membership and operating efficiently to grow profitably.”
Carnie described the transaction as a vote of confidence: “This reflects the strong belief our existing and incoming shareholders have in the future of Soho House & Co., and the transformation we’ve led since becoming a public company.”
In addition to retaining existing leadership, the acquisition is expected to bring fresh capital, hospitality know-how, and tech acumen into the fold. MCR, which owns more than 150 hotels globally—including the TWA Hotel at JFK Airport and the High Line Hotel in New York—brings operational expertise and a track record of innovation. Investors hope this backing will support Soho House’s plans to open four new clubs and improve its tech platforms for members.
For this story, Fortune used generative AI to help with an initial draft. An editor verified the accuracy of the information before publishing.
