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Soho House merger funding uncertainty clouds shareholder vote

Story Highlights
  • Soho House agreed in August 2025 to a take-private merger with a Yucaipa affiliate, leaving it as the surviving entity.
  • Key $200 million equity funding from MCR is now in doubt ahead of the January 9, 2026 vote, raising uncertainty over closing.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Soho House merger funding uncertainty clouds shareholder vote

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Soho House & Co ( (SHCO) ) has issued an update.

On August 15, 2025, Soho House & Co Inc. agreed to be taken private via a merger with EH Parent LLC, an affiliate of The Yucaipa Companies, through a structure in which EH MergerSub Inc. will merge into Soho House, leaving the company as the surviving entity. The deal financing has come under pressure after MCR Hospitality Fund IV informed Yucaipa on January 5, 2026 that it would not be able to fund in full its previously committed $200 million equity purchase in Merger Sub at $9 per share by the anticipated closing date, forcing Yucaipa, Soho House’s special committee and their advisers to seek replacement or supplemental funding from MCR affiliates and other parties with no assurance of success. Despite this uncertainty around a key funding component, Soho House plans to proceed with its January 9, 2026 special meeting for shareholders to vote on adoption of the merger agreement and the parties continue to aim to close the transaction as soon as all conditions are satisfied, leaving the timing and certainty of completion a central concern for investors and other stakeholders.

The most recent analyst rating on (SHCO) stock is a Hold with a $8.50 price target. To see the full list of analyst forecasts on Soho House & Co stock, see the SHCO Stock Forecast page.

Spark’s Take on SHCO Stock

According to Spark, TipRanks’ AI Analyst, SHCO is a Neutral.

Soho House & Co’s overall stock score is primarily impacted by its weak financial performance, characterized by high leverage and negative profitability. Technical analysis provides some neutral signals, but valuation remains unattractive due to ongoing losses. The absence of earnings call insights and corporate events leaves the financial and valuation concerns as the dominant factors.

To see Spark’s full report on SHCO stock, click here.

More about Soho House & Co

Soho House & Co Inc. operates in the hospitality and members’ club industry, running private members’ clubs, hotels and related lifestyle and leisure venues targeted primarily at creative and media professionals and affluent urban consumers in key global markets.

Average Trading Volume: 556,734

Technical Sentiment Signal: Buy

Current Market Cap: $1.75B

For detailed information about SHCO stock, go to TipRanks’ Stock Analysis page.

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