The Merger between Fortress Investment Group and SoftBank

It is often said that the success of a company is measured by the amount of profit it makes but the impact it has on its society. Fortress Investment Group is such a company. It is a leading and highly diversified investment management firm that helps private clients and institutions across the globe. It offers financial advice to clients about the investments they should make on behalf of their institutions. They also advise private clients with investment advice that helps them invest wisely for their future. Over the past one year, Fortress Investment Group has made various strides to ensure that they remain at the top when it comes to offering their clients quality services. Read more on linkedin.com

The greatest stride they took is through forming a merger with SoftBank Group Corporation. SoftBank group acquired Fortress Investment Group at the cost of $3.3 billion. Both companies came to an agreement that allowed Fortress Investment Group to retain its board of directors as well as form a special committee that will represent all the rights of both companies in the merger. The founders of Fortress Wes Edens, Peter Bridger, and Randal Nardone were also to continue leading the company. They were also supposed to commit 50% of the money they acquired from the merger after tax back into the company to fund vehicles and other requirements.

In addition to the above agreements, the founders of the Fortress group were to agree to vote shares. The vote shares should represent a cumulative of 34.99% of the other fortress voting shares that are held by SoftBank, and the vote should favour their transaction. Another agreement to this merger was that the senior investment professionals would have to retain their significant and retain their position in fund performance. Fortress Group will also have to remain as an independent business under SoftBank Group Corporation.

The other highlights of this merger also state that SoftBank is committed to ensuring that the Fortress maintains its business model, its personnel, brand, culture, processes, and leadership. Up to date, the partnership between these companies has lasted up until this date. This has also led to the growth of the business to its current level.

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