Soho House eyes US$480mln IPO with US$3.2bn valuation

Soho House is targeting a US$480mln (£347mln) IPO that would value the loss-making private members club at US$3.2bn (£2.3bn).

The group has filed under the name of Membership Collective Group Inc and looks to sell 30mln shares of its Class A common stock at US$14-16 each, Reuters reported.

It will trade on the New York Stock Exchange with the ticket MCG.

Obsessed with the fact Samantha Jones couldn’t get a Soho House membership

— Chris Mandle (@chris_mandle) July 5, 2021

The group’s members, some 100,000 of them worldwide, are being given the opportunity to buy shares in the offering.

Soho House was founded in London by Nick Jones in 1995 who subsequently sold on the big portion of his shares in 2008, before US billionaire Ron Burkle took a controlling stake in 2015.

Presently, the group comprises 28 members-only clubs and restaurants.

The clubs, which cost each member more than £1,000 per year and have a near 50,000-person membership waitlist, had 92{f08ff3a0ad7db12f5b424ba38f473ff67b97b420df338baa81683bbacd458fca} retention during the pandemic.

Revenues reduced to US$384mln from US$642mln and it made a US$235mln loss. It’s never been profitable.