Softbank Acquires Fortress Investment Group in a Stunning But Brilliant Move
Softbank was founded close to forty years ago and has been expanding ever since by making the right acquisitions and other business moves. Recently, it has acquired Fortress Investment Group, which is a very successful investment management firm. The acquisition is all part of the Japanese company’s plan to grow into one of the most formidable investment firms on Earth. The company paid $3.3 billion to acquire Fortress Investment Group and plans on letting the company continue to do its business like it has been for many years. This includes the management team of Fortress, which Softbank has pledged to leave in place as it is.
Softbank was put together by Masayoshi Son in 1981 and started out by selling PC software. Eventually, the company began to publish magazines related to computers and also purchased a controlling interest in Yahoo!. Now, Softbank is a part of hundreds of internet companies and works with many different technology startups. The acquisition of Fortress demonstrates that the company might be expanding into new territory.
Fortress Investment Group was founded by its chief executive officer, Randy Nardone, as well as Wes Edens, its co-chair. This happened in 1998, and since that time, the company has grown into a firm that manages the assets of more than 1,700 clients; most of these being private investors or institutions. The company will continue to be located in NYC and will be ran independently. Before making the acquisition, the founder of Softbank visited Trump Tower after president trump was elected and made a promise to invest billions of dollars in the United States. President Trump later recognized Softbank in a speech as a great company.
Fortress Investment Group has been going through many changes recently and over the years and was the original private equity firm in the nation to be publicly traded. Wes Edens opened up recently and admitted that the team at Fortress Investment Group will not miss being a public company and is looking forward to becoming a private company. Softbank and Fortress will both benefit from the acquisition and are expected to work well together.