By Katherine Hamilton

Soho House shares rose after the company said it entered into a new funding commitment agreement -- which will allow it to close a deal to go private -- after its previous funding fell through.

The stock climbed 12.8% to $8.93 in after-hours trading Wednesday. Through the close, shares were down 10.5% over the past three months.

The members-only club said it had made multiple agreements to secure about $200 million in alternative commitments.

The commitments will allow for the company to close a deal announced in August for a group of investors led by MCR Hotels to acquire it. The proposed transaction has an implied enterprise value of $2.7 billion, including debt, and would take Soho House private.

Earlier in January, MCR, which is one of the biggest hotel owners in the U.S., said it couldn't fully fund its $200 million equity commitment to acquire Soho House. The announcement stunned MCR's investing partners, The Wall Street Journal reported.

Morse Ventures, an entity owned by MCR Investors LLC Chief Executive Tyler Morse, is providing a $50 million equity commitment as part of the new deal.

MCR also said it will commit $50 million in equity under its original commitment.

SoHo House also amended and restated its debt commitment letter, which commits to increasing the aggregate size of Soho's senior unsecured notes facility from $150 million to $220 million.

As part of that change, Apollo Capital Management agreed to reduce its existing $50 million commitment to $30 million.

Write to Katherine Hamilton at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

January 14, 2026 18:21 ET (23:21 GMT)

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