Only a small collection of individuals has made it to the Forbes billionaires list. One such person is Randal Nardone, who ranks at No. 557 with a net worth of $1.8 billion. This self-made billionaire amassed his wealth through his Private Equity Firm, Fortress Investment Group LLC. He earned his fortune alongside his other partners: Michael Novogratz, Wesley Edens, Peter Briger, and Robert Kauffman.
Randal, also referred to as Randy, founded Fortress Investment Group in January 1998. The firm operates as an alternative investment manager. The firm raises and invests assets in industrial realms in which it specializes in: private equity, credit and real estate, railroads, and liquid hedge funds. Due to its highly diversified portfolio, the company has managed to extend its asset management services to more than 1,500 institutional and private investors across the globe.
Randal’s Take on the Acquisition
On 27 December, 2017, it was reported that SoftBank Group Corp., a Japanese giant financial institution. This was the final transaction that legally handed the bank all its shares worth $3.3 billion. Fortress’s acquisition by SoftBank, however, does not mean that the Randal Nardone and the entire board will be kept out. In fact, the asset management firm will carry on its operation independently and continue investing in industries it specializes in.
Speaking about the transaction, Randal Nardone said that he was optimistic about the deal and how it would bolster the company’s finances. He hoped the company could have more access to greater credit financing. Furthermore, each of the company’s shares traded at $8.08 in this deal against $5.83 that each share traded in the previous weeks. That’s good news to investors who own Fortress shares.
Randal Nardone and his partners parted with $1.39 billion – an amount they’ll share depending on the number of shares each of them owned. Fortress Investment Group is currently estimated to have virtually $69.6 billion worth of assets under management. Half of these are under fixed income while the rest is placed in private equity, permanent capital vehicles and hedge funds.
Education and Career Background
Randal Nardone attended the University of Connecticut where he obtained a BSc. in Arts. He also went to Boston University and acquired the title of Doctor in Jurisprudence. He became an attorney and a partner at the Thatcher Proffitt & Wood law firm. He later developed an interest in the financial industry and joined the Blackrock Financial Management Inc. In 1997, he joined UBS AG as the Managing Director before co-founding Fortress Investment Group LLC.