Particle.news
Download on the App Store
18 ARTICLES
·
1h ago

Soho House Agrees to $2.7 Billion Take-Private Deal Led by MCR Hotels

Apollo financing with existing shareholder rollovers underpins new board appointments for a planned year-end closing.

Image
Image
Soho House is seen on Greek street, London, Britain, July 13, 2021. REUTERS/Peter Nicholls/File Photo

Overview

  • Soho House shareholders will receive $9.00 per share in cash as part of the $2.7 billion transaction led by hotel operator MCR Hotels.
  • Funds managed by Apollo Global Management are providing roughly $700 million to $800 million in debt and equity financing to support the acquisition and refinance existing notes.
  • Founder Nick Jones and Executive Chairman Ron Burkle’s Yucaipa Companies are rolling their stakes to retain majority control of the newly private company.
  • MCR Hotels CEO Tyler Morse will join Soho House’s board as vice chairman and actor-investor Ashton Kutcher will take a board seat upon completion.
  • Hospitality veteran Neil Thomson has been appointed chief financial officer as the deal awaits regulatory clearances and shareholder approval for a year-end close.