The general rule of thumb in the business world is that if you are going to make an acquisition, make sure that the acquisition makes sense. That seems like an obvious piece of common sense. This is particularly the logic that investment firms tend to follow. Here is the reality though – sometimes investments that make a lot of money for all parties involved didn’t start out looking like something that made sense at first. A recent case of this sort of thing is when legendary investment operation Fortress Investment Group was acquired for $3.3 billion by Japan’s SoftBank. This monumental deal was completed in 2017 during the month of December.
The fact is that if an analysis is done of he histories of both of these iconic companies, it is much easier to see why this acquisition on the part of SoftBank makes plenty of sense. Both SoftBank and Fortress Investment Group are known for having an adventurous spirit and choosing to branch into different areas that go against conventional wisdom. This attitude has led today’s SoftBank to become a firm that currently is invested in excess of four-hundred different companies. With this monumental acquisition of Fortress Investment Group, SoftBank is now poised for a future as a leading investment firm.
SoftBank’s history goes all the way back to the early 1980s. Fortress Investment Group, on the other hand, was founded in 1998 by expert investors Wes Edens and Randal Nardone. They subsequently built the firm into a powerhouse. This is a primary reason that Fortress Investment Group was such a prized acquisition for a company like SoftBank that is known for its diversified portfolio. A good part of the news for Fortress is the fact that operations at the firm will go on in an, as usual, type of operational manner.