Luxury club chain Soho House is changed hands for a staggering $2.7 billion, with Ashton Kutcher being one of the buyers involved in the deal.
Soho House, the exclusive private members' club known for catering to creative communities worldwide, is set for a new chapter under the leadership of a consortium led by MCR Hotels. The deal, worth approximately $2.7 billion, aims to take the company private and refresh its brand.
The consortium, which includes Ashton Kutcher, will purchase Soho House's outstanding shares for $9 each in cash. Kutcher, with his experience as a tech investor and consumer brand strategist, will join Soho House’s board and lead a group of strategic investors providing equity capital for the deal.
Soho House, founded by Nick Jones and starting as a single club in central London, has expanded to 46 houses worldwide, coworking spaces, beach clubs, and farmhouses. The club's houses can be found in various locations, including Tokyo, Milan, Madrid, Los Cabos, Sydney, and soon, Barcelona and Manchester.
The deal will return Soho House to private ownership, with key existing shareholders retaining controlling stakes. This move is expected to provide fresh capital for growth and transformation, while preserving leadership continuity. MCR CEO Tyler Morse will be vice-chair of the board.
Kutcher's involvement in the deal reflects an effort to elevate Soho House’s profile and strategic positioning. His influence, combined with substantive business expertise, is intended to revitalize the brand and navigate a competitive luxury hospitality market.
The company has faced challenges since its 2021 IPO, with profitability struggles and criticism that its rapid expansion diluted the exclusivity and curated community feel that defined its original appeal. However, Soho House CEO Andrew Carnie claims the company has delivered consistent, disciplined growth, with revenue doubling in the past three years. The expansion plans may help maintain the club's exclusivity and "coolness" despite rapid growth.
Despite reports of a "broken business model" and "terrible accounting" from GlassHouse Research, the company has rejected these claims. The consortium will provide further new equity capital, with Ashton Kutcher being one of the new investors.
The transaction is expected to close by the end of 2025. With Kutcher joining the board of directors, Soho House is poised for a fresh start, blending celebrity influence with business acumen to revitalize the brand and secure its position in the luxury hospitality market.
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