Is Cirque du Soleil Private Equity Owned?
Cirque du Soleil
Includes Cirque
live performance · Montreal, QC
Catalyst Capital Group
2015
“PE demanded aggressive growth. Cirque lost $120 million on failed shows, then COVID snapped the trapeze.”
The PE Playbook
- •TPG Capital bought Cirque for $1.5 billion in 2015, loading it with $900 million in debt and ordering breakneck expansion
- •Lost $30 million in China, $20 million on 'NFL Experience' in Times Square, and $70 million on Las Vegas show R.U.N.
- •Laid off 4,679 employees (95% of workforce) in March 2020 when revenue went from $1 billion/year to zero in one week
- •Filed for bankruptcy in June 2020; financial analysts had already warned that the 'debt-funded expansion strategy could be unsustainable'
Since the Acquisition
- ▸Filed for bankruptcy in June 2020 and laid off 3,480 employees — 95% of the entire workforce
- ▸Show quality became inconsistent as the company spread its creative talent across 33 simultaneous productions — veteran performers said the culture shifted from artistry to assembly line
- ▸Ballooned from a focused operation to running 33 simultaneous shows, spreading creative talent too thin
- ▸The $70 million Las Vegas show R.U.N. lasted only five months — the shortest-lived Cirque production in 27 years
- ▸Company insiders said the culture shifted 'from close cooperation to let's build it quickly, let's prime the pump'
Sources
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Frequently Asked Questions
Is Cirque du Soleil owned by private equity?
Yes. Cirque du Soleil is currently owned by Catalyst Capital Group, which acquired it in 2015. PE demanded aggressive growth. Cirque lost $120 million on failed shows, then COVID snapped the trapeze.
What happened to Cirque du Soleil after the acquisition?
Filed for bankruptcy in June 2020 and laid off 3,480 employees — 95% of the entire workforce Show quality became inconsistent as the company spread its creative talent across 33 simultaneous productions — veteran performers said the culture shifted from artistry to assembly line
Who owns Cirque du Soleil?
Cirque du Soleil is owned by Catalyst Capital Group, which acquired it in 2015.