Fortress Investment Group is an investment firm, located in New York City. First started as a private equity firm in 1998 by Randal Nardone and two other co-founders. In 2007, it was the largest private equity firm, trading publicly, in the US. Obtaining management ownership of about $70.2 billion in assets, in June 2016.
Randal Nardone is one of the founders of the Fortress Investment Group. He studied Biology and English at the University of Connecticut and later went on to graduate at the Boston School of Law. His transition into the financial industry started with Blackrock Financial Management Inc., as a principal. He went ahead and joined UBS AG in 1997, as a managing director. Currently, he acts as one of the principals and member of the board of directors at Fortress Investment Group LLC, serving as the CEO from December 2011. He was also a member of the Management Committee of Fortress since its founding in 1998.
Alternative Management Positions
Furthermore, he holds the position of a director at Brookdale Senior Living Inc. Also, he has the position at three other companies, namely, Eurocastle Investment Limited, Alea Group Holding Limited, and GAGFAH S.A. He is a vice-president and the Secretary of Newcastle Investment Holdings LLC.
Moving on, he has been named Forbes #558 billionaire. With a net worth of $1.8 billion, from his self-made fortune as a lawyer turned financial investor.
Acquisition by SoftBank Group
In December 2017, Fortress Investment Group was acquired by SoftBank Group Corp., Japan’s banking Hulk. Owning all of Fortress’ shares retailing to $3.3 billion. The company kept Nardone as part of its management staff. Fortress Group will continue to act as an independent investment firm, specializing in private equity, real estate, and credit cards.
Discussing the acquisition, he stated that he was very positive about this move and its beneficial factors to the firm. The company would grow faster and gain access to bigger credit sources from a future perspective. SoftBank Group Corp had bought the company for $8.08 for every share whereas the shares were being sold at $5.83, which is a huge investment in the company itself. The company made $1.39 billion when it was acquired.
By dividing the amount between how many shares are each owned in the firm, Randal Nardone is estimated to have $69.6 billion in assets under management. Half of it is fixed income and the rest from other sources such as private equity and credit hedge funds.