Those who are interested in business deals, particularly mergers and acquisitions, will certainly be excited to learn about the recent acquisition of Fortress Investment Group by none other than SoftBank. The deal resulted in a $3.3 billion cash price! This deal gained approval in July on 2017, and the future looks hopeful for both organizations. The executives of Fortress Investment Group expressed great enthusiasm at the prospect of getting to work with a truly international company, as SoftBank is from Japan. SoftBank’s CEO is convinced that the previous experience of those at Fortress will prove to be of great value to him and well worth the price of the purchase.
Though it is now under the ownership of the Japanese SoftBank, Fortress Investment Group will actually continue to execute its operations mostly independently, and all three founders and principals are still in place, despite the merger. Branding will also remain unaffected. This was a smart decision by SoftBank, as the team at Fortress has done exceptionally well thus far, so there isn’t much sense in altering a business model that is clearly already working amazingly. The main change, however, was that Fortress began trading privately under its new owner, SoftBank, as opposed to trading its shares on the NYSE. Visit bloomberg.com
Run from New York, Fortress Investment Group is one of the most influential investment management firms around, and it was founded more than 20 years into the past; the names of the men who were involved in founding it are Peter Briger, Randal Nardone and Wes Edens, all of whom remained in power despite the acquisition. Each of these men expressed approval of the deal with SoftBank, and believe that much can be accomplished as a result of the two vastly different organizations working together to chase the same goal. Fortress Investment Group will be instrumental to Softbank’s entrance into the realm of finance, which the newly created SoftBank Vision Fund will also play a large role in. Since both sides appear satisfied and optimistic in the wake of this acquisition, it is likely that they will do great things together.