Trouble with the Soho House & Co merger? MCR Hotels, a cornerstone investor, has gone wobbly at the finish line.
MCR was supposed to bring $200 million to the table to help Soho House go private in a $2.7 billion deal.
But on Monday, MCR Hotels, the big investor that owns the TWA Hotel at JFK & the 3rd-largest hotel owner-operator in the U.S., told Soho House that « it will not be able to fund its closing commitment in full » by the anticipated closing date.
Soho House — you know, the fancy members-only clubs where you pay through the nose to sit on velvet couches with movie producers — still plans to hold a stockholders meeting Thursday to take the company private.
But its majority shareholder, Ron Burkle’s Yucaipa, must have spent the past few days scrambling to find substitute money.
Apollo’s already in for some debt, and maybe it or another institutional or strategic investor will save the deal.