Shares in asset manager Fortress Investment Group LLC (NYSE:FIG) were significantly bolstered in pre-market trading by news of a US$3.3bn takeover by Softbank.
The shares rose more than 25% to US$7.95 as Softbank Group Corp (OTCMKTS:SFTBF) after Softbank unveiled an US$8.08 a share offer for the alternative asset manager.
Pete Briger and Wes Edens, who share the chairman role at Fortress, will be staying on after the takeover, as will chief executive Randy Nardone. Fortress will be run as an autonomous business within the Softbank group.
“Fortress’s excellent track record speaks for itself, and we look forward to benefiting from its leadership, broad-based expertise and world-class investment platform,” said Masayoshi Son, SoftBank’s chairman and chief executive officer.
Since floating at around US$31 in February 2007 the shares have not been a good investment, but since the end of January this year have risen from US$5.61 to US$6.21 last night.