Tag Archives: operate largely independently

Fortress Investment Group’s Future Looks Bright

2018 was a huge year that brought some big changes and developments at Fortress Investment Group and 2019 looks like it’s shaping up to be a big year as well. The company has been known to make headlines over the last 20 years after being the first company to go public in their field. While they may have been the first for that achievement, they achieved another first by becoming a private company once again after being purchased by SoftBank in 2018.

SoftBank gave Fortress Investment Group this opportunity by purchasing them for the impressive sum of $3.3 billion but still allowing them to operate largely independently. This purchase and privatization will allow the company to continue making big investments in real private equity alongside real estate. While the company may have begun as a hedge fund, they managed to expand into a global company with many investment and financial vehicles. They first became public back in 2007 after creating an IPO on the NYSE.

The real estate ventures of Fortress Investment Group are being integrated into some of the other projects from SoftBank. The vision fund from SoftBank already has invested in startups that are related to real estate such as Compass, OpenDoor, and Katerra. With the extensive experience that Fortress Investment Group already has in real estate, they are expected to be a valuable asset for SoftBank’s plans to expand their company into several different markets. One of the most notable projects includes a development in Times Square that is expected to include an innovative retail space, entertainment, and hotel. Companies such as YouTuve, Samsung, Facebook, and Amazon have already expressed an interest in the project.

2018 included innovative developments in areas other than real estate as well. Private credit is becoming a big market as banks are providing fewer funds for private and public companies. They are creating private lending pools to be able to provide these companies with funding to help them grow or address issues in distressed companies. There are reports that state that Fortress Investment Group may be raising around $2 billion for their direct funding efforts.

To know more click: here.