Monday, May 22, 2023

Softbank Sells PEU Fortress to Mubadala

reported on the sale of Fortress Investment Group to Mubadala Investment Company, an Abu Dhabi sovereign wealth fund for approximately $3 billion.  Softbank purchased the private equity underwriter (PEU) in 2017 for $3.3 billion.  

Fortress was the first large private capital firm to go public, listing its shares in early 2007. It spurred a wave of similar offerings as Blackstone, KKR, Apollo and Carlyle all eventually went public.

Fortress founder Wes Edens will step down as co-CEO.

Mubadala took a 7.5% stake in Carlyle in September 2007.  A year later the Financial Crisis struck.  Mubadala added to their Carlyle Group holdings in 2011.

I hope their timing is better regarding Fortress.