New York City-based Fortress Investment Group is a financial firm that invests globally in assets including private debt, private equity, and real estate. Founded in 1998, they had an IPO in 2007 and were listed on the New York Stock Exchange (NYSE). They went back to being a privately held company in December 2017 when all of their outstanding shares were purchased by SoftBank Group Corporation for $3.3 billion. Fortress Investment Group manages around $40 billion in assets. This money is independently managed by its three principals. Peter Briger, working out of an office in San Francisco, manages the private debt this company invests in. Wes Edens and Randal Nardone work in the New York City headquarters and both manage private equity investments.
SoftBank is a Japanese firm that is focused on building the information revolution. They finance many companies around the world that are in technology and telecommunications such as Sprint, Uber, and Alibaba. Purchasing Fortress Investment Group was a way for them to diversify their holdings and take advantage of the experience and skills the team at this company has illustrated time and again. SoftBank has Vision Fund which is invested in by companies such as Qualcomm and Apple. They have backed many startups in the tech industry and are invested in areas such as the Internet of Things (IoT), robotics, and artificial intelligence (AI). They have also invested in really large-scale projects such as an immense solar power project located in Saudi Arabia.
Vision Fund is led by a former employee of Fortress Investment Group, CEO Rajeev Misra. He had headed Fortress’ strategic finance group. He said that Fortress has a record of investing that simply speaks for itself. They have excellent leadership, he said, along with broad-based expertise. He thought that the purchase of Fortress would help SoftBank by expanding its capabilities and help accelerate its transformation through disciplined and bold investing. One example of the type of Fortress Investment Group invests in is the Tiffany & Co. building in Miami. They bought this building for $20 million and it is on what is considered the most exclusive street in America. It has 11,000 square feet or retail space and an iconic jewelry company as a tenant.