The Soho House Group is reported to be considering a public floatation on the New York Stock Exchange, according to Sky News, in a move that the Financial Times say would see the company valued at as much as $2 billion.
Sources close to the company suggest that a range of fundraising options are being considered, with Wall Street giants J.P. Morgan and Goldman Sachs hired by Soho House to review the company’s position, and help it prepare for the proposed initial public offering (IPO) later this year.
The company, which operates eighteen member’s clubs around the world, has plans to open “three or four” more clubs per year going forward — including new venues in London, New York, Los Angeles, Amsterdam and Barcelona — despite concerns amongst credit ratings agencies about the scale of its existing debts.
Soho House signed a refinancing agreement last year worth £375 million to consolidate its borrowing and allow it to continue with expansion plans — a deal that coincided with the opening of The Ned, its huge venue in the former Midland Bank headquarters next to Bank in the City.
Membership figures for Soho House properties are reportedly nearing 70,000 paying members worldwide, with “tens of thousands more” on waiting lists. Nevertheless, the company remains unprofitable, despite steadily growing membership and increasing revenues.
Last month it launched its latest restaurant Kettner’s Townhouse in Soho, a property that backs onto the original Soho House, which itself has just reopened after a two-year refurbishment.
- Soho House finds new home with $2bn New York float [Sky News]
- Soho House considers New York flotation [Financial Times]