Soho House Acquired for £2 Billion; Ashton Kutcher Joins Board
Soho House Acquired for £2 Billion; Ashton Kutcher Joins Board
Private members’ club chain Soho House has been acquired for $2.7 billion (£2 billion) by a consortium that includes Hollywood actor and investor Ashton Kutcher. The deal sees the group, which opened its first London club in 1995 and now boasts 46 locations across Europe, North America, and Asia, return to private ownership.
The agreed offer price of $9 per share represents an 18% premium over Friday’s closing price. However, this is still below its August 2021 peak of $14.21 per share, following a sharp decline in share value since its 2021 New York Stock Exchange listing, as the company struggled with profitability and perceptions of lost exclusivity.
The consortium is led by MCR Hotels, the third-largest US hotel group, known for properties like the TWA Hotel at JFK Airport. Private equity firm Apollo facilitated the deal. Existing shareholders, including founder Nick Jones and Richard Caring, will retain their stakes. Ashton Kutcher and MCR boss Tyler Morse are set to join the Soho House board. Morse expressed excitement about joining the Soho House journey, praising its global network and anticipating four new houses opening soon.
Soho House, which bills itself as a club for “like-minded creative thinkers,” has expanded significantly, leading to concerns from some members about its exclusivity given its substantial membership fees. Industry analysts, like Susannah Streeter of Hargreaves Lansdown, suggest that while a celebrity director adds glamour, Soho House will require more than “celebrity stardust” to ensure its long-term stability, especially amid a challenging period for the hospitality sector.
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