softbank: Abu Dhabi’s Mubadala in talks to buy asset manager Fortress from SoftBank

Mubadala Investment Co. is in talks to acquire asset manager Fortress Investment Group from Japanese conglomerate SoftBank Group Corp., people with knowledge of the matter said.

Abu Dhabi’s sovereign wealth fund is discussing a deal that would value Fortress at more than $1 billion, one of the people said, asking not to be identified as the information is private. Mubadala has long been a SoftBank counterpart, and in 2017 he said he would be a lead investor in the company’s first Vision Fund.

While talks with Mubadala are at an advanced stage, there is no certainty they will reach an agreement and other potential buyers could emerge, the sources said. Bloomberg News reported in November that SoftBank, led by billionaire Masayoshi Son, was exploring options for Fortress, including a potential sale.

Representatives from Mubadala, SoftBank and Fortress declined to comment.

SoftBank acquired Fortress in 2017, intending to use the New York-based company’s expertise to help run its giant Vision Fund.

“This opportunity will immediately help expand our group’s capabilities and, alongside our soon-to-be-established SoftBank Vision Fund platform, will accelerate our SoftBank 2.0 transformation strategy of bold, disciplined investing and world-class execution to drive growth.” long term sustainable. said SoftBank’s son in a 2017 statement.

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Son’s plans were foiled. To gain approval from the U.S. Foreign Investment Committee, SoftBank agreed to cede day-to-day control of Fortress, which has been independently managed since the acquisition.

The company, led by co-chief executives Pete Briger and Wesley Edens, was managing $53.3 billion as of December 31, according to its website.

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