Fortress Investment Group: Invlovement In 2010 Winter Olympics

Fortress Investment Group was originally founded in 1998 by a group of five individuals. These individuals included financial industry veterans Wes Edens and Pete Bridger. During the company’s initial years experienced an incredibly large amount of growth. From 1998, the year of the company’s inception, until 2006, the year just before the company was publicly traded, Fortress Investment Group was able to increase its asset size by around 40%. As of 2016 in the month of June, the firm was managing around $70 billion worth of alternative assets. These assets were held in private equity, liquid hedge funds, and credit funds. The Corporation became the first large private equity firm to be publicly traded in the United States of America in 2007 during the month of February when it held its initial public offering and became available on the New York Stock Exchange.

Fortress Investment Group was founded in 1998 by its five principal founding members. All of the leadership members of the Corporation had significant experience in the finance industry. While it had several good years during its initial performance, it was not spared from the catastrophe of 2008 financial crisis. During the financial crisis of 2008 Wes Edens, one of the Fortress Investment Group principal founding members was recognized by Forbes magazine as one of the biggest financial losers of the financial crisis. During this financial crisis, Fortress Investment Group was forced to collect payment on the Olympic athlete’s village that it originally planned to help fund for the 2010 Winter Olympics. During this controversy, the Corporation had promised to loan $875 million to a development fund that would help build the Olympic athletes village in Vancouver British Columbia. However, the instability caused by the financial crisis in 2008 pushed the company towards bankruptcy. By the end of the year, they were unable to provide additional assistance financially to development fund, and the city of Vancouver was forced to pay nearly $450 million in order to complete the project in time for the winter Olympics. However, the city of Vancouver was approved to borrow money in order to help complete the project in the village was completed in 2009. After the conclusion of the winter Olympics, the village went into the holdings of Fortress Investment Group in 2010.

Despite the hardships suffered by the company during the financial crisis that was initiated in 2008 it has since gone on to experience even greater growth than it had during the company’s inception. In 2014 the company was recognized by Institutional Investor, an investment magazine, as the hedge fund manager of the year. It has been recognized several other times as being a prominent investment company by several other publications. After this announcement, the Corporation began to be targeted by several other large profile corporations around the world for the possibility of corporate acquisitions. This came to fruition in 2017 when technology company Softbank group acquired Fortress Investment Group for a total of around $3.3 billion. This deal was concluded at the end of the year and December 2017.

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