Fortress Investment Group is one of the biggest publicly-held private equity firms that operates from New York. It was co-founded in 1998 by a couple of former UBS directors and two other principals. Two co-founders, Wesley Edens and Peter Briger, also double up as the co-chairs. Initially, the firm handled hedge funds, investments in real estate and securities among others. The firm was rapidly successful and went public in 2007 at the NYSE.
The firm has spent almost two decades buying, managing and selling other businesses. In a strange twist of events, the company has new owners. In 2017, the firm was acquired by Softbank Group, a global technology conglomerate with interests in telecommunications, connectivity and a host of technology services such as artificial intelligence, robotics, and the clean energy. Fortress Investment Group now operates as an independent subsidiary of Softbank.
Over the course of its operations, the investment management firm has acquired numerous companies. For example, in 2006, one of its funds bought out RailAmerica. The firm sold the business in 2009 through an initial public offering. Similarly, in 2007, a similar fund operated by the investment firm acquired Florida East Coast Industries. In similar fashion, the firm has publicly listed multiple companies under its portfolio.
Fortress has over thirty businesses in its private equity portfolio. Some of the names on this list include Boxclever, Eurocastle, Gatehouse Media, Nationstar Mortgage and Springleaf Financial. As of 2016, the firm had in excess of forty billion dollars in managed assets. This kitty is managed under different business segments with credit private equity taking the larger piece of the pie.
Hedge funds, permanent capital, and private equity makes up the rest of the assets under management. Fortress Investment Group posted a billion dollars in annual revenue the same year. After the acquisition by Softbank, Fortress was delisted from the NYSE. It continues to operate as a wholly-owned independent subsidiary. The full management team stays on doing what they do best — guiding the business unit to dizzying heights of success.
Besides capital, the Fortress enjoys the full support of Softbank in terms of business leadership, strategy, human capital and a vibrant company culture that drives growth. In addition to the New York office, Fortress Investment Group operates from a dozen other locations. These include Tokyo, London, Frankfurt, Shanghai and Rome.
Fortress Investment Group has packaged itself as a comprehensive global investment leader. The company operates under several main pillars, as the core competencies that drive success. The firm has a strong focus on asset-based investing. This includes physical and financial assets. It excels in pricing, acquisition, financing and the management of the assets. Fortress enjoys the services of highly experienced investment professionals.
They have extensive knowledge of the industry. Similarly, they have significant expertise in multiple sectors and access to networks of global professionals. The firm has streamlined an operational management strategy that delivers value out of complex investments.
In addition, Fortress has handled numerous mergers and acquisitions. The firm quickly evaluates the structural integrity of an investment and provides advisory on merger options. Fortress has a long history of leveraging the capital markets to secure low-risk funding for a diverse range of investments.